The major indices
Indices
Stock market indices represents an index that measures a particular stock market or a segment of the stock market. These instruments are important investors as they help compare current price levels with past prices to calculate market performance.The main two parameters for indices are that they are both investable and transparent. For example, investors can invest in a stock market index by buying an index fund, which is structured as either a mutual fund or an exchange-traded fund, and track an index. The difference between an index fund's performance and the index, if any, is called tracking error. Most major countries boast multiple indices. Commonly traded indices include the S&P 500, NASDAQ-100, Dow Jones Industrial Average (DIJA), EURO STOXX 50, Hang Seng Index, and many more.Stock market indices can be characterized or segmented by the index coverage set of stocks. The overall coverage of an index constitutes an underlying group of stocks, most commonly grouped together by underlying investor demand.How to Trade IndicesRetail brokers offer indices exposure through the use of contracts-for-difference (CFDs) or exchange-traded funds (ETFs). Each are popular ways to trade specific markets and are almost always on offer at most brokers.Investors can choose between multiple types of indices that traditionally fall within several categories. This includes country coverage, regional coverage, global coverage, exchange-based coverage, and sector-based coverage.All indices are ultimately weighted in a number of different ways. The most common mechanisms include market-capitalization weighting, free-float adjusted market capitalization weighting, volatility weighting, price weighting, and others.
Stock market indices represents an index that measures a particular stock market or a segment of the stock market. These instruments are important investors as they help compare current price levels with past prices to calculate market performance.The main two parameters for indices are that they are both investable and transparent. For example, investors can invest in a stock market index by buying an index fund, which is structured as either a mutual fund or an exchange-traded fund, and track an index. The difference between an index fund's performance and the index, if any, is called tracking error. Most major countries boast multiple indices. Commonly traded indices include the S&P 500, NASDAQ-100, Dow Jones Industrial Average (DIJA), EURO STOXX 50, Hang Seng Index, and many more.Stock market indices can be characterized or segmented by the index coverage set of stocks. The overall coverage of an index constitutes an underlying group of stocks, most commonly grouped together by underlying investor demand.How to Trade IndicesRetail brokers offer indices exposure through the use of contracts-for-difference (CFDs) or exchange-traded funds (ETFs). Each are popular ways to trade specific markets and are almost always on offer at most brokers.Investors can choose between multiple types of indices that traditionally fall within several categories. This includes country coverage, regional coverage, global coverage, exchange-based coverage, and sector-based coverage.All indices are ultimately weighted in a number of different ways. The most common mechanisms include market-capitalization weighting, free-float adjusted market capitalization weighting, volatility weighting, price weighting, and others.
Read this Term had a roller coaster of the day. The day started with the indices down. Then they rallied after Fed's Powell testimony in front of the Senate Banking Committee talked about "demand destruction" - implying perhaps a scenario where the Fed might not have to make it to 3.4% by year end. Later, the indices sold off when he did not rule out not having to raise rates by 100 basis points (although it was more or less an admission that "anything is possible").
Later toward the close, the stocks move higher and lower, closing modestly lower in all the major indices.
The final numbers are showing:
- Dow industrial average fell -47.12 points or -0.15% at 30483.14. At session highs the index was up 0.81% and at the lows the index was down -1.19%
- S&P fell -4.9 points or -0.13% at 3759.90. At the high the index was up 0.98%. At the lows the index was down -1.25%
- NASDAQ fell -16.21 points or -0.15% at 11053.09. At the high the index was up 1.33%. At the lows the index was down -1.19%.
- Russell 2000 fell -3.75 points or -0.22% at 1690.27
The top performing stocks in the Dow 30 were:
- United health, +1.9%
- Johnson & Johnson, +1.58%
- Procter & Gamble +1.5%
- McDonald's +1.38%
- Merck and Company +1.26%
The biggest decliner's today included:
- Dow, -4.71%
- Caterpillar -4.33%
- Chevron -4.2%
- Nike, -3.52%
- Honeywell -1.54%
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