Unwanted session for Nice 50which ended the session on Thursday, October 26 with sharp falls in the 1.41%till 18,852.20 points. He Nice 50 scored maximum 19,041.70 points and minimum 18,837.85 points. The trading area for Nice 50 between its highest and lowest point (maximum-minimum) during this day it stood 1.07%.
Compared to last week’s profitability has Nice 50 notes a drop in 4.16%; but for a year it still maintains an increase in 7.65%. He Nice 50 if one is located 6.64% below its maximum this year (20,192.35 points) and a 11.25% above its minimum price so far this year (16,945.05 points).
A stock index It is an indicator that shows how the price of a set of assets is developingfor which it collects data from different companies or sectors in a part of the market.
These indicators are mainly used by the stock exchanges of various countries around the world and each of them can be integrated by companies with specific characteristics to have a similar market value or to belong to the same industry. In addition, there are some indexes that only consider 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. In general, 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 profitability 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. looked carefully at how company stocks tended to rise or fall in price 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 in other types of companies
Today there are various indices and They can be agglomerated depending on their geographical location, sectors, company size or even the type of assetFor example, the US Nasdaq index consists of the 100 largest companies largely 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 achieved by multiplying the daily value of the bond on the corresponding stock market by the total shares held by the investors.
Listed companies are obliged to present a balance sheet of its composition. The report shall be published every three or six months, as the case may be.
Reading a stock index also requires observing its changes over time. Current index always starts with a fixed value based on share prices on your start date, but not everyone follows this method. Therefore, it can appear misleading.
If one index grows 500 points in a day while another only adds 20, it may appear that the first one did better. But if the first started the day at 30,000 points and the second at 300, it can be assumed that the gains of the second were percentage wise more remarkable.
Between major US stock indices There is the Dow Jones Industrial Average, better known as Dow Jones, which consists of 30 companies. That too S&P 500, which includes 500 of the largest companies on the New York Stock Exchange. Finally there appears Nasdaq 100which brings together 100 of the largest non-financial companies.
On the other hand, the most notable indexes are for Europe is Eurostoxx 50, which covers the 50 most important companies in the eurozone. He too 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 dominant one 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 influential 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.
Likewise, there are 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.