BSE Sensex 30 opened with a negative trend on March 2

bearish day for BSE Sensex 30which opens the day of Thursday March 2 with slight decreases in the 0.24%until the 59,266.46 points, after the start of the opening session. In relation to the variations of this day compared to the previous days, the BSE Sensex 30 reverses the game on that of the previous session, where a rise of 0.55% was recorded, showing that it is unable to establish a stable trend lately.

Last week the BSE Sensex 30 note a decrease of 0.57%; On the contrary, year-on-year, it still accumulates an increase of 6.1%. He BSE Sensex 30 is located 3.35% below its maximum this year (61,319.51 points) and a 0.52% above its minimum valuation so far this year (58,962.12 points).

a stock market index It is an indicator that measures the evolution of the price of a set of assets.it therefore uses data from different companies or sectors of a market fragment.

These indicators are mainly used by the exchanges of the countries and each of them can be integrated by companies with specific characteristics like having a similar market capitalization or belonging to the same type of industry, furthermore, some indices only consider a handful of stocks to determine their value or others that consider hundreds of stocks.

Stock indices serve as indicator of confidence in stock market, business confidence, health of national and global economy and stock investment performance and shares of an entity. Generally, if investors are not confident, stock prices tend to fall.

They are also working to measure the performance of an asset manager and allow investors to make comparisons between return and risk; measure the opportunities of a financial asset or create portfolios.

These types of indicators began to be used at the end of the 19th century after the journalist Charles H. Dow. To see carefully how company stocks tended to rise or fall together in price, he therefore created two indices: one that contained the 20 largest railroad companies (since that was the largest industry at the time), as well as 12 shares of other types of companies

Today there are various indices and They can join a union according to their geography, their sectors, the size of the companies or the type of assetFor example, the U.S. Nasdaq index is made up of the 100 largest companies with broad technology connections 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 component is the market capitalization of each company that incorporates it. This is obtained by multiplying the daily value of the share on the corresponding stock market by the total number of shares that are on the market.

Listed companies are required to present a balance sheet of its composition. This report must be published every three or six months, as the case may be.

Reading a stock index also requires noticing its variations over time. Current indices always appear with a fixed value based on stock prices on their start date, but not everyone follows this method. Therefore, it can lead to failures.

If one index increases by 500 points in one day, while another adds only 20, it may seem that the former has performed better. However, if the first started the day at 30,000 points and the other at 300, you can see that in percentage terms the gains for the second were considerable.

Between the major US stock indices is the Dow Jones Industrial Average, better known as the Dow Jones, of which 30 companies are part. Also S&P500, which includes 500 of the largest companies on the New York Stock Exchange. Finally, the Nasdaq 100which includes 100 of the largest non-financial companies.

On the other hand, the most important indices of Europe are the Euro Stoxx 50, which covers the 50 largest companies in the euro area. On the other hand, the DAX 30, the main German index containing the most outstanding companies on the Frankfurt Stock Exchange; there FTSE100 the London Stock Exchange; he CAC 40 of the Paris Stock Exchange; and the IBEX 35of the Spanish stock exchange.

In Asiathe main stock market indices are the Nikki 225, made up of the 225 largest companies on the Tokyo Stock Exchange. There is also the SSE composite index, which emerges as China’s preeminent, made up of the most relevant companies on the Shanghai Stock Exchange. Also, it is worth mentioning the Hang Seung Index in Hong Kong and the KOSPI in South Korea.

As it concerns Latin Americayou have the IPCwhich contains the 35 most prestigious companies on the Mexican Stock Exchange (BMV). At least a third of them belong to the capital of tycoon Carlos Slim.

Another is the Bovespa, composed of the 50 most important companies of the Sao Paulo Stock Exchange; he Merval from Argentina; he IPSA From Chile; he MSCI COLCAP Columbia; he IBC of Caracas, made up of 6 companies from Venezuela.

Finally, there are other types of global stock indices such as the MSCI Latin Americawhich includes the 137 most important companies from Brazil, Chile, Colombia, Mexico and Peru.

Likewise, there is MSCI World, which brings together 1,600 companies from 23 developed countries; he MSCI Emerging Markets, made up of more than 800 companies from developing countries; and the S&P Global 100made up of the 100 most powerful multinational corporations on the entire planet.