Stock markets

You all might have gone to stock market, played there.
One important parameter is a Stock market index.
Dow Jones Industrial Average.

The Dow Jones company started tracking in index of 12 companies stock prices on 26 May 1896.
It now comprises 30 stocks.

Index is price-weighted, rather than market capitalisation weighted, unlike most major stock indices.
Also, companies change irregularly, rarely.
Changes are not based on particular criteria, but on judgment of editor of Wall Street Joutnal.
It is the most quoted index in print, TV, or Internet media.

2) Nasdaq 100
This stands for Association of Securities Dealers Automation Quotations System.
It tracks performance of 100 companies traded on Nasdaq Exchange Systems – mostly Tech companies.

3) Nikkei 225 Index
It is Japan’s most widely watched index. It tracks performance of 225 companies traded on Tokyo Stock Exchange.

4) Standard & Poor’s poor’s 500 index
It is a Credit rating Agency, created the index in 1957.
It’s base value of 10 shows the value of its components. It tracks performance of 10 largest 15 US companies by market capitalisation- by virtue of number of constituents to a significant degree it reflects the market as a whole. It is reviewed once a month.


Suresh Shah


Adapted from excellent writes & talks by players, watchers, friends who understands and appreciate movements of Stocks.

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