stock exchange indexes
Futures are divided into two types: settlement and delivery. Settlement futures (non-deliverable futures) is used, as between the parties shall be made only cash payments, while the physical delivery of the underlying asset is not made. Thus, at the expiration of the specified term the seller does not deliver the goods. Exchange produces between the parties to the settlement. Settlement futures are used to purchase the underlying asset as a stock index or currency.
In the following chapters we shall be acquainted with the concept of a stock market index, find out, what is its importance in the study of the market and consider the leading Russian and world stock market indices. First, we give a definition of the notion of a stock market index.
stock exchange indexes (stock index) is a composite measure of the change in prices of a certain group of assets (goods, derivative financial instruments, securities), which is called the «index basket».
Accounting for stock exchange indexes of the selected group of securities and other assets you can see the behavior of one or another market sector. With its help investors can follow the mood of the market (the direction of the movement) or a specific sector. This is possible even if the price of assets inside the index of the sample are changing in different directions.
So why, in fact, need a stock exchange indexes? In itself, the stock market index doesn't mean anything. The standard number of, deprived of the cost of expression. Interesting is not the stock market index, and its dynamics, the current of everyday computing the index.
Than it is to study and analyze large volumes of information on all traded securities, the investor is much easier to keep track of the necessary stock exchange indexes, to see the status of a separate branch of the economy or her overall picture as a whole. I must say that now on the stock exchange the stock indexes are often judged on the state of the economy of entire countries. In the case when dynamics of indices is negative, then there is a market falls, it is called «bear». When the movement is directed upwards - power take the «bulls».
All exchange to calculate their stock indices on the basis of traded on these securities. In addition, the markets and the stock exchange can at the same time expect several stock market indices containing various «index basket». The value of stock exchange indices and their dynamics is published in mass media, in the regular reports of the financial news, as well as information on Internet sites.
