Hong Kong market starts the day trending into negative territory on March 8

unfavorable session for Hang Seng (Hong Kong)which opens the session on Wednesday, March 8 with notable declines in the 2.01%until the 20 120.73 dots, after the start of the opening session. If we compare the data with earlier dates, the Hang Seng (Hong Kong) chain two consecutive negative sessions.

Considering the last seven days, the Hang Seng (Hong Kong) note a decrease of 2.42% and last year there is still a decrease in the 11.41%. He Hang Seng (Hong Kong) is located 11.32% below its maximum this year (22,688.90 points) and a 1.69% above its floor price for the current year (19,785.94 points).

a stock market index is an indicator that shows how the value of a set of assets is changingfor which you need to have data from different companies or sectors of a market fragment.

These indicators are mainly used by the stock markets of different countries of the world and each of them can be integrated by companies with certain characteristics like having a similar market capitalization or being in the same type of industry, similarly, 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 the stock market, business confidence, the health of the national and global economy and the performance of stock investments and shares of the company. Generally, if investors are not confident, stock prices will tend to fall.

They are also working to measure the performance of an asset manager and they allow investors to have comparisons between 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 analyze how company stock prices tended to rise or fall together, he created two indexes: one that contained the 20 largest railway companies (as it was the most important industry in the era), as well as 12 shares of other types of companies

Today in our economy there are various indices and they can be grouped by location, industries, company size or even asset typeFor example, the American Nasdaq index is made up 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 way of being measured, 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 made public every three or six months, as the case may be.

Reading a stock market index also means noticing its changes over time. Current indices always start 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 scores 500 points in one day, while another only scores 20, it may seem that the former performed better. However, if the first started the day at 30,000 points and the other at 300, we can deduce that as a percentage, the gains of the second were greater.

Between the main stock indices of the American Union is the Dow Jones Industrial Average, better known as the Dow Jones, made up of 30 companies. Likewise, the S&P500, which includes 500 of the largest companies on the New York Stock Exchange. Finally, 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. There is also the SSE composite index, which can be considered the main one in China, consisting of the most important companies of the Shanghai Stock Exchange. The same role played by 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 consolidated 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.