Hi all… somehow or the other we all would have come accross the two familiar terms “Sensex” and “Nifty”. Have you ever thought why it changes frequently during trading hours and how it is been impacted by share traders???
Just read on…
“SENSEX” is the benchmark index for the Indian stock market. It is the most frequently used indictor while reporting on the current scenario of the market. The Sensex is an indicator of all the major companies of the BSE. In the same way the the NSE has an index called the “NIFTY” (officially known as S&P CNX Nifty, which we will see later) which indicates all the major companies of the NSE. This name credits just the 50 stocks that comprise its index.
If the Sensex rises, it indicates the market is going well. Since stocks are supposed to reflect what companies expect to earn in the future, a rising index indicates investors expect better earnings from companies and vice versa
The BSE is situated at Bombay and the NSE is situated at Delhi. These are the major stock exchanges in the country. There are other stock exchanges like the Calcutta Stock Exchange etc but they are not as popular as the BSE and the NSE. Most of the stock trading in the country is done though the BSE & the NSE.
And guys, Besides Sensex and the Nifty there are many other indexes. There is an index that gives you an idea about whether the mid-cap stocks go up and down and it is called the BSE Mid-cap Index. There is also an index for the metal stocks and many such index are there, which we will see in the forth coming posts….
To visit NSE website click Here… To visit BSE website click Here…
Taking you through a journey with Share markets, Stocks, Bonds.. etc.. etc.. 