Google trend - Sensex

Sensex - 10 things to know with detail

• What is Sensex: Sensex, also known as the S&P BSE Sensex, is the benchmark stock index of the Bombay Stock Exchange (BSE) in India. It is a measure of the performance of the top 30 companies listed on the BSE.
• Calculation: The Sensex is calculated using a free-float market capitalization weighted methodology, which means that the weight of each stock in the index is determined by its market capitalization and the number of shares available for trading.
• Constituents: The Sensex consists of the top 30 companies from various sectors, including banking, IT, consumer goods, and manufacturing. Some of the companies included in the Sensex are Reliance Industries, HDFC Bank, Infosys, and Tata Consultancy Services.
• Historical Performance: The Sensex was first compiled in 1986 with a base value of 100. Since then, it has grown significantly and is considered a barometer of the Indian economy's health and investor sentiment.
• Market Cap: The total market capitalization of the companies listed on the Sensex is used to calculate the index value. This means that changes in the market capitalization of individual companies can impact the overall performance of the index.
• Volatility: The Sensex is known for its volatility, with daily fluctuations based on various factors such as economic indicators, corporate earnings, global events, and investor sentiment.
• Tracking: Investors and analysts use the Sensex as a gauge of the overall performance of the Indian stock market. It is often compared to other indices such as the Nifty 50 and the Nifty Bank to assess market trends.
• Investment Products: There are several investment products available that track the performance of the Sensex, such as index funds, exchange-traded funds (ETFs), and index futures and options.
• Historical Milestones: The Sensex has seen several milestones over the years, including reaching the 10,000 mark in 2006, 20,000 in 2014, and 50,000 in 2021. These milestones reflect the growth and development of the Indian stock market.
• Impact on Economy: The Sensex is closely watched by policymakers, analysts, and investors as a barometer of the Indian economy's health. A rising Sensex is generally seen as a positive signal for the economy, while a falling Sensex may indicate underlying issues or concerns.