Bearish day for the Mexican S&P/BMV IPC index, which ended the day on Thursday, June 27 with slight falls in the 0.3%until the 52,310.96 points. The Mexican S&P/BMV IPC index marked a maximum volume of 52,470.77 points and a minimum of 52,082.76 points. The trading range for the Mexican S&P/BMV IPC index between its highest and lowest point (maximum-minimum) during this day was located at 0.74%.
In the last week, the Mexican S&P/BMV IPC index has accumulated a drop of 0.9%%so that in interannual terms it still accumulates a decrease of 1.34%. The Mexican S&P/BMV IPC index is at a 10.9% below its maximum so far this year (58,711.87 points) and a 0.97% above its minimum price of the current year (51,807.55 points).
A stock market index is an indicator that measures the evolution of the value of a given set of assetsso it takes data from various companies or sectors of a part of the market.
These indicators are mainly used by the stock exchanges of different countries around the world and Each of them can be integrated by firms with specific requirements. such as having a similar market capitalization or belonging to the same 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 stock market confidence, business confidence, health of the national and global economy, and stock investment performance and shares of an entity. Generally, if investors lack confidence, share values tend to fall.
They also function to measure the performance of an asset manager and allow investors to compare profitability and risk; measure the opportunities of a financial asset or create portfolios.
This type of indicators began to be used at the end of the 19th century after journalist Charles H. Dow. He carefully observed how company stocks tended to rise and fall in price together, so he created two indexes: one containing the 20 largest railroad companies (since it was the most important industry at the time), as well as 12 stocks from other types of businesses.
Currently in humanity there are various indexes and They can be brought together based on their geography, sectors, company size or also the type of assetFor example, the American Nasdaq index is made up of the 100 largest companies largely related to technology such as Apple (AAPL), Microsoft (MSFT), Amazon (AMZN), Facebook (FB), Alphabet (GOOG), Tesla (TSLA), Nvidia (NVDA), PayPal (PYPL), Comcast (CMCSA), Adobe (ADBE).
Each stock market index has its own way of being measured.but the main factor is the market capitalization of each company that makes up the bond. This is obtained by multiplying the value of the bond on the corresponding stock exchange by the total number of shares that are in circulation on the market.
Companies listed on the stock exchange are required to to present a balance sheet of its composition. This report must be submitted every three or six months, as appropriate.
Reading a stock index also involves observing its changes over time. New indices always open with a fixed value based on stock prices on their start date, but not everyone follows this method. Therefore, it can be confusing.
If one index adds 500 points in a day, while another only adds 20, it might appear that the first one performed better. However, if the first started the day at 30,000 points and the other at 300, it can be concluded that, in percentage terms, the gains for the second were more notable.
Between the main stock indices in the American Union There is the Dow Jones Industrial Average, better known as Dow Jonesmade up of 30 companies. Likewise, the S&P 500, which includes 500 of the largest companies on the New York Stock Exchange. Finally, we must mention the Nasdaq 100which brings together 100 of the largest non-financial firms.
On the other hand, the most important indices of Europe are the Eurostoxx 50which covers the 50 largest companies in the eurozone. On the other hand, the DAX 30, the main German index that contains the most outstanding companies on the Frankfurt Stock Exchange; the FTSE 100 of the London Stock Exchange; CAC 40 of the Paris Stock Exchange; and the IBEX 35from the Spanish stock market.
In Asiathe main stock market indices are the Nikkei 225made up of the 225 largest companies on the Tokyo Stock Exchange. Also, the SSE Composite Indexis seen as China’s main one, made up of the most prominent companies on the Shanghai Stock Exchange. Likewise, it is worth mentioning the Hang Seung Index in Hong Kong and KOSPI in South Korea.
Talking about the Latin American regionyou have the CPIwhich contains the 35 most influential firms on the Mexican Stock Exchange (BMV). At least a third of them belong to the capital of magnate Carlos Slim.
Another is the Bovespa, made up of the 50 most important companies on the Sao Paulo Stock Exchange; he Merval from Argentina; the IPSA from Chile; the MSCI COLCAP from Colombia; he IBC of Caracas, made up of 6 companies from Venezuela.
Finally, 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.
Likewise, there is the MSCI Worldwhich includes 1,600 companies from 23 developed countries; 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.
