This year, the markets have experienced constant volatility. (Infobase)

bad day for him Hang Seng (Hong Kong)which opens the session on Thursday, March 2 with falls in the 1.36%until the 20,339.18 dots, after opening. By comparing these data with those of the previous days, the Hang Seng (Hong Kong) it reverses the result of the previous session where it had risen by 0.79%, showing a lack of continuity in the result in recent days.

Compared to the last seven days, the Hang Seng (Hong Kong) marks a decrease of 0.06%Therefore, year-on-year, it still maintains a decline of 13.52%. He Hang Seng (Hong Kong) is located 10.36% below its maximum this year (22,688.90 points) and a 2.8% above its minimum price so far this year (19,785.94 points).

a stock market index is an indicator that shows how the value of a given set of assets is changingfor which it collects 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 requirements such as having a similar market capitalization or belonging to the same sector, some indices only take into account a handful of stocks to determine their value or others which take into account 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 values ​​tend to fall.

They are also working to measure the performance of an asset manager and allow investors to compare profitability 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 carefully study how company stocks tended to rise or fall together, he created two indices: one that contained the 20 largest railway companies (as it was the largest industry at the time) , as well as 12 shares of other types of companies

Currently in humanity there are various indices and They can group together based on geographic location, industries, company size, or even asset classFor 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 way of being measured, but the main component is the market capitalization of each company that incorporates it. This is obtained by multiplying the 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 market index also means examining its evolution over time. Current indices always start with a fixed value based on security prices on their start date, but not everyone follows this method. So it can be confusing.

If one index sees an increase of 500 points in one day, while another only gets 20, it may seem that the former has performed better. But, if the first started the day at 30,000 points, and the other at 300, we can conclude that in terms of percentage, 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. Likewise, the S&P500, which includes 500 of the largest companies on the New York Stock Exchange. Finally, we must not forget the Nasdaq 100that connects 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. Also DAX 30, the main German index containing the most important companies of 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 the asian continentthe main stock market indices are the Nikki 225, made up of the 225 largest companies on the Tokyo Stock Exchange. Also SSE composite index, which can be considered the most notable in China, consisting of the most important companies of 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 the Latin American regionyou have the IPCwhich contains the 35 most consolidated companies on the Mexican Stock Exchange (BMV). At least a third of them are part of the estate 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.

In addition, 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.

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