Negative day for Nice 50which opens the session on Monday, October 30 with small declines in the 0.17%till 19,015.45 points, after the start of the opening session. By analyzing this data with data from previous days Nice 50 It reverses the data from the previous day, when it experienced an increase of 1.39%, without being able to establish a defined trend in recent dates.
Compared to last week Nice 50 notes a drop in 2.7%; although in the last year it still accumulates an increase in 8.19%. He Nice 50 if one is located 5.83% below its maximum so far this year (20,192.35 points) and a 12.22% above its minimum price for the current year (16,945.05 points).
A stock index It is an indicator used to show the development of the price of a set of assetsso you need data from different companies or sectors in a part of the market.
These indicators are mainly used by the stock exchanges in each country and each of them can be integrated by companies with certain characteristics such as having a similar market capitalization or belonging to the same industry. Likewise, there are some indices that consider only a handful of stocks to determine their value, or others that take into account hundreds of stocks.
Stock market index serves as indicator of stock market confidence, business confidence, the health of the national and global economy and stock investment performance and shares in a company. If investors lack confidence, stock prices will tend to fall.
They also work for measuring performance of an asset manager and allow investors to make a comparison between return and risk; measure the possibilities of a financial asset or create portfolios.
This type of indicators began to be used in the late 19th century after journalist Charles H. Dow. carefully observed how company stocks tended to rise or fall together, so he created two indexes: one containing the 20 main railroad companies (since that was the most important industry at the time), as well as 12 stocks of other types of companies
Today in our economy there are various indices and They can be brought together based on their location, sectors, company size or even the type of asset.For example, the US Nasdaq index consists of the 100 largest companies mainly related to technology such as Apple (AAPL), Microsoft (MSFT), Amazon (AMZN), Facebook (FB), Alphabet (GOOG), Tesla (TSLA), Nvidia (NVDA), PayPal (PYPL), Comcast (CMCSA), Adobe (ADBE).
Each stock index has its own calculation method, but the main factor is the market value of each company that includes it. This is obtained by multiplying the daily value of the bond on the corresponding stock market by the total number of shares in circulation on the market.
Companies listed on the stock exchange are obliged to present a balance sheet of its composition. This report shall be published every three or six months, as appropriate.
Reading a stock index also requires paying attention to its variations over time. Current indices are always displayed with a fixed value based on security prices on your start date, but not everyone follows this method. Therefore, it can be a source of misunderstandings.
If one index gains 500 points in one day while another gains only 20, it may appear that the first index did better. However, if the first started the day at 30,000 points and the second at 300, it can be inferred that the gains of the second were significant in percentage terms.
Between major US stock indices There is the Dow Jones Industrial Average, better known as Dow Jones, which consists of 30 companies. Likewise is S&P 500, which includes 500 of the largest companies on the New York Stock Exchange. Finally, it is necessary to mention Nasdaq 100which brings together 100 of the largest non-financial companies.
On the other hand, the most important index for Europe is Eurostoxx 50, which covers the 50 most important companies in the eurozone. On the other hand DAX 30, the main German index containing the most outstanding companies on the Frankfurt Stock Exchange; that FTSE 100 from the London Stock Exchange; he CAC 40 from the stock exchange in Paris; and IBEX 35from the Spanish stock market.
IN Asiaare the most important stock indices Nikkei 225, which consists of the 225 largest companies on the Tokyo Stock Exchange. There is also SSE Composite Index, is seen as the strongest in China, consisting of the most prominent companies on the Shanghai Stock Exchange. Likewise, it is worth mentioning Hang Seung Index in Hong Kong and KOSPI in South Korea.
Talking about Latin Americayou have IPCwhich contains 35 most prestigious companies on the Mexican Stock Exchange (BMV). At least a third of them are owned by tycoon Carlos Slim.
Another is Bovespa, consisting of the 50 most important companies on the Sao Paulo Stock Exchange; he Merval from Argentina; he IPSA From Chile; he MSCI COLCAP from Colombia; he IBC of Caracas, consisting of 6 companies from Venezuela.
There are also other types of global stock indices such as MSCI Latin Americawhich includes the 137 most important companies in Brazil, Chile, Colombia, Mexico and Peru.
Likewise there is MSCI world, which includes 1,600 companies from 23 developed countries; he MSCI Emerging Markets, which consists of more than 800 companies from developing countries; and S&P Global 100which consists of the 100 most powerful multinational companies on the entire planet.