{"id":50588,"date":"2024-06-07T17:00:00","date_gmt":"2024-06-07T15:00:00","guid":{"rendered":"https:\/\/www.11onze.cat\/?p=50588"},"modified":"2024-06-07T17:01:31","modified_gmt":"2024-06-07T15:01:31","slug":"stock-indices","status":"publish","type":"post","link":"https:\/\/www.11onze.cat\/en\/magazine\/stock-indices\/","title":{"rendered":"What are stock indices, and what are they for?"},"content":{"rendered":"<div class=\"component text\">\n  <div class=\"container\">\n\n\n    <div class=\"row\">\n      <div class=\"col  col-lg-8  offset-lg-2\">\n        <h3><b>If you are an investor, you must understand what stock indices are and what they are used for. A stock index is a statistical indicator that reflects the change in the price of the main shares listed on a given stock exchange and can be used as an investment tool.<\/b><\/h3>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">Stock indices are benchmark instruments characteristic of the world of finance and essential for investors. They are <\/span><b>tools that measure the performance of a specific group of assets in the stock market,<\/b><span style=\"font-weight: 400;\"> providing a clear view of the price of a set of related stocks or securities.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">There are multiple indices around the world which, as Joan Benedicto, 11Onze agent, points out, \u2018<\/span><b>will tell us whether shares in a particular economic sector are rising or falling in price and how they will perform as a whole<\/b><span style=\"font-weight: 400;\">\u2019. Therefore, they can be key when it comes to knowing the stock market and making investments.<\/span><\/p>\n\n      <\/div>\n    <\/div>\n  <\/div>\n<\/div>\n\n\n<div class=\"component gallery\">\n  <div class=\"container\">\n    <div class=\"row\">\n      <div class=\"col col-lg-10 offset-lg-1\">\n        <div id=\"slider\" class=\"carousel slide\">\n          <div class=\"carousel-inner\">\n            <div class=\"carousel-item active video-player inline-player\" data-video-id=\"6308641867112\">\n              <img decoding=\"async\" class=\"d-block w-100\" src=\"https:\/\/www.11onze.cat\/wp-content\/uploads\/2022\/07\/HEROIMAGE_INDEX_BORSARI.jpg\" alt=\"\">\n              <button type=\"button\" class=\"play\"><\/button>\n              <div class=\"carousel-caption\">\n                <p>The agent Joan Benedicto explains what stock market indices are.<\/p>\n              <\/div>\n            <\/div>\n          <\/div>\n        <\/div>\n      <\/div>\n    <\/div>\n  <\/div>\n<\/div>\n\n<div class=\"component text\">\n  <div class=\"container\">\n\n\n    <div class=\"row\">\n      <div class=\"col  col-lg-8  offset-lg-2\">\n        <h3><b>What are the main stock market indices?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Stock market indices can include from a few to hundreds of companies. The best-known international examples are:<\/span><\/p>\n<ul>\n<li><b>The Dow Jones Industrial Average (DJIA)<\/b><span style=\"font-weight: 400;\">, created by Charles Henry Dow, editor of The Wall Street Journal, measures the share prices of the 30 largest companies listed on the New York Stock Exchange.<\/span><\/li>\n<li><b>S&amp;P 500<\/b><span style=\"font-weight: 400;\">, which includes the 500 largest companies in the United States and is considered the most representative of the real market situation.<\/span><\/li>\n<li><b>NASDAQ<\/b><span style=\"font-weight: 400;\">, which includes the largest market capitalisation technology companies and other companies in high-growth sectors.<\/span><\/li>\n<li><b>FTSE 100<\/b><span style=\"font-weight: 400;\">, pronounced \u2018Footsie one hundred\u2019, is a stock market index published by the Financial Times and comprises the top 100 stocks on the London Stock Exchange.<\/span><\/li>\n<li><b>NIKKEI 225<\/b><span style=\"font-weight: 400;\">, the main indicator of the Tokyo Stock Exchange that measures the results of the 225 Japanese public companies with the highest capitalisation and liquidity belonging to various industrial sectors.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">In the case of Spain, we find the <\/span><b>IBEX 35<\/b><span style=\"font-weight: 400;\">. Therefore, when you hear that, for example, the Spanish stock market has fallen by 0.10%, it means that the market values of the thirty-five companies in the main stock market index of the Spanish market have fallen by 0.10%.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">These indices work by points, which will increase or decrease depending on the evolution of the value of the companies that make up the index, but as Benedicto explains, \u2018we have to bear in mind that <\/span><b>not all the companies that make up these indices are taken into account equally<\/b><span style=\"font-weight: 400;\">, while some may influence the index by 10%, others may only influence it by 0.5%\u2019.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><b>If you want to discover the best option to protect your savings, go to <\/b><a href=\"https:\/\/serveis.11onze.cat\/en\/preciosos-11onze\"><b>Preciosos 11Onze<\/b><\/a><b>. 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