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NASDAQ Composite This index includes a lot of stocks! In fact, it includes the stocks of all of the companies listed on the NASDAQ , which total over 5000. As you’ll recall, the NASDAQ includes many technology stocks, so this index is often an indicator of the performance of the IT (Information Technology) sector . Some component stocks of the NASDAQ that you might recognize are Zynga, Facebook, and Apple. The symbol for the NASDAQ Composite index is IXIC . Nikkei 225 (Nee-kay) This is usually referred to as the Nikkei . It is an index of the stocks of 225 top-rated Japanese companies listed on the Tokyo Stock Exchange . You will recognize many of the companies on the Nikkei. They include Honda Motor Company, Konica, and Toshiba Corp. Its ticker symbol is NI225 . Hang Seng Referred to as the Hang Seng , this index consists of the 50 largest companies traded on the Hong Kong Stock Exchange . This index holds a diverse selection of stocks from many sectors. Since many of the Hang Seng’s stocks are actually Chinese companies, the Hang Seng is considered a useful indicator of China’s economy . Some companies you might recognize are the Bank of China, Cathay Pacific Airlines, and Lenovo. Its ticker symbol is HSI . Key indexes around the globe The Euro Stoxx 50 Index (SX5E) is an index of 50 blue chip companies located in the Eurozone . It includes stock from French, German, Dutch, Spanish, Italian, and Finnish companies. (Recall the Eurozone refers to countries that use the Euro as currency.) A few Euro Stoxx companies you might recognize are L’Oreal (French), Volkswagen (German), and Nokia (Finnish). There are indexes to track performance of every stock exchange in the world. The Bovespa Index (IBOV) will tell you about the performance of stocks traded on the Sao Paolo Stock Exchange. The Bolsa (MEXBOL) tracks stocks traded on the Mexican Stock Exchange; stocks from the Bombay Stock Exchange (BSE) are tracked in an index called the Sensex Index (SENSEX) . There are also specialized indexes which focus on the performance of stocks of companies in a particular industries or subindustries , such as hotel, retail apparel, energy, or healthcare stocks. There are even indexes that measure the performance of SoCap companies. (Recall SoCap companies from Commerce Capitalism.) There are indexes that track small, mid, or large cap stocks. Name any type of stock or industry, there is an index somewhere that tracks it. PRODUCT PREVIEW
305 THE 21st CENTURY STUDENT’S GUIDE TO FINANCIAL LITERACY
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