Start of the day on the rise for the nikkei 225which begins on Monday, May 1 with increases of 0.89%until the 29,112.69 points, after opening. In relation to the variations of this day with respect to previous dates, the nikkei 225 chain three consecutive sessions in positive values.
Taking into account the last week, the nikkei 225 accumulate a promotion 1.82%so that for a year it has still maintained a rise in the 10.33%. and a 13.2% above its minimum valuation so far this year (25,716.86 points).
a stock index It is an indicator that is used to know the evolution of the price of a certain set of assets.so it uses data from different companies or sectors of a fragment of the market.
These indicators are used mainly by the stock markets of various nations and each of them can be integrated by signatures with specific characteristics such as having a similar market capitalization or belonging to the same type of industry, in addition, there are some indices that only consider a handful of shares to determine their value or others that consider hundreds of shares.
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 company shares. If investors are not confident, share prices tend to fall.
They also work to measure the performance of an asset manager and allow investors to make a comparison 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 see carefully how the shares of the companies tended to rise or fall together in price, so he created two indices: one that contained the 20 most important railway companies (since it was the most important industry at the time), as well as 12 shares of other types of businesses
Today in humanity there are various indices and They can congregate based on their geographical location, sectors, company size or also the type of assetFor example, the US Nasdaq index is made up of the 100 largest largely technology-related companies 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 calculating, but the main component is the market capitalization of each firm that integrates it. This is obtained by multiplying the daily value of the bond in the corresponding stock market by the total number of shares that are in the market.
Companies listed on the stock exchange are required to present a balance of its composition. Said report must be delivered every three or six months, as appropriate.
Reading a stock index also implies analyzing 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 sees an increase of 500 points in one day, while another only gets 20, it might appear that the former performed better. However, if the former started the day at 30,000 points and the other at 300, you can see that, in percentage terms, the gains for the latter were higher.
Between the main stock indices in the American Union is the Dow Jones Industrial Average, better known as Dow Jones, which is made up of 30 companies. Also, the S&P 500, which includes 500 of the largest companies on the New York Stock Exchange. Finally, one must not forget the Nasdaq 100which links 100 of the largest non-financial firms.
On the other hand, the most prominent indices of Europe are the eurostoxx 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; the FTSE 100 from the London Stock Exchange; he ACC 40 from the Paris Stock Exchange; and the IBEX 35from the Spanish stock market.
In the asian continentwe have the nikkei 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, made up of the most relevant companies on the Shanghai Stock Exchange. The same role played by the Hang Seung Index in Hong Kong and the KOSPI in South Korea.
Talking about Latin Americayou have the CPIwhich contains the 35 most outstanding firms of the Mexican Stock Exchange (BMV). At least a third of them are owned by tycoon Carlos Slim.
Another is the Bovespa, made up of the 50 most important companies on the Sao Paulo Stock Exchange; he Merval from Argentina; he IPSA From Chile; he MSCI COLCAP from Colombia; he IBC de Caracas, made up of 6 companies from Venezuela.
Similarly, there are other types of global stock market indices such as the MSCI Latin Americawhich includes the 137 most important companies in Brazil, Chile, Colombia, Mexico and Peru.
Similarly, there is MSCI World, which includes 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 firms on the entire planet.
