Indices - are tools that give insight into the current state of the stock markets, in other words, they show the direction of the market.Often they are also referred to as stock.
Stock indexes are calculated based on a certain number of securities.The number of shares that affect the calculation of a particular stock index, usually specified at the end of its name, such as DAX 30, CAC 40, NASDAQ 100 and S & amp; P 500. Thus, the change in the stock index reflects the price movements of hundreds or tens of shares.And various stock indexes of the same stock market allows to evaluate it from different sides.
Key stock indices and their characteristics
In our time in circulation is more than two thousand different stock indices.But among them we should mention some of the most popular - are indicators of the FTSE 100, S & amp; P's 500, RTS, NASDAQ, Nikkei, DAX, Dow Jones, the MICEX.
FTSE 100
This index characterizes the state of the UK stock market.The FTSE 100 is a very significant indicator in Europe.It is constructed on the basis of 100 liquid stocks, which are contained in the quotation list of the London Stock Exchange LSE.Calculated from 1984
Standard & amp;Poor's 500-
for especially fairness of this indicator is often referred to as a barometer of the US economy.As the title says, the definition of the stock exchange index has traditionally been US rating agency Standard & amp;Poor's.It takes into account changes in the market value of securities of 500 US corporations that are listed on the major US stock exchanges - NYSE, and NASDAQ.
RTS
RTS (PTC, the Russian Trading System) is created in 1995 by the stock exchange in order to base the central market of Russian securities on the basis of operating at the time of the regional stock markets.
number of stock indices PTC (RTC) includes stock indices S & amp; P / RUX-OIL, S & amp; P / RUX, RTSI, Rux-Cbonds and RTST and is designed to evaluate the capitalization of major Russian companies.
NASDAQ
most popular family of stock indices NASDAQ is the NASDAQ 100 stock indicators with the NASDAQ Composite.Stock exchange NASDAQ, which together with the AMEX and NYSE refers to the major US stock exchanges, appeared in early 1971 and focused on securities trading firms specializing in high technology.
Nikkei
number of stock market indices of the Japanese stock market in Tokyo gets its name from the newspaper, which has been several decades publishes these basic indexes of Japan: the indicator Nikkei 500 index Nikkei 300 index Nikkei All Stock Index.
most popular in that family - the Nikkei 225 stock market indicator showing the average cost of securities of 225 companies, which are presented in the first section of the Tokyo Stock Exchange.
DAX
This major stock indicators in Germany.Index, introduced in 1988, takes into account the cost of 30 German companies that are leaders in different industries: Deutsche Bank, Lufthansa, Commerzbank, Bayer AG, Allianz, Siemens, Deutsche Telekom, BASF and others.
Dow Jones (DJIA)
probably no person in the world who has not heard about this index.For the first time the Dow Jones index was used more than a century ago.The number of companies whose shares are taken into account the value of the stock exchange index, over time changed several times.Initially, in 1896, there were 13, in 1916 - 25 and 1928 and is currently the Dow Jones invariably based on the price of shares of 30 companies.In fact, it is equal to the arithmetic mean value of the securities of the largest US corporations.
addition to the main, calculated as the value of stock indices Dow Jones for certain sectors of the economy: transport indicators DJ (on the value of the securities of 20 industrial giants), communal LED DJ (on the value of the securities of 15 companies), and the composite index,based on the cost of the 65-year-shares, and a number of other stock market indices.
MICEX
It is a composite index of the same name by the Moscow Stock Exchange, which is taken into account for calculating the price of the most liquid stocks of Russian companies.The initial value of this indicator was calculated at the end of 1997 and is taken as 100. In order to determine the price takes into account the ten most liquid stocks.
