Stock Trading and Other Things

what does a point in stock exchange mean .Is a point in stock exchange mean a share or what?

When they say that the stock exchange up for example 200 points ,what does it mean?What is a point?

Public Comments

1. They mean that the average share value of that market, or at least the top few shares (usually 100) on that market that are used for these calculations, is up by that amount.

2. each index, for example NASDAQ, TSX, is made up of certain number of stocks that can represent/leader of the whole market.

The point that up means the representing shares are up by how many $ in total.

3. One point = one dollar.

The Indexes are based on the most current Selling Price of a group of selected stocks. The stocks used for this calculation are changed from time to time. It is a relative measure of how the stock market is doing overall. The selected stocks are thought to be a good representation of the overall market’s condition.

4. Each point represents an increase of $1 in the average share value of the stocks that make up that particular index. So, if you had an investemnt in a stock or fund that mirrors the S&P 500 your value would have increased by $200 that day.