BSE - SENSEX index (indices)

Submitted by Craig Strzelecki on 19 February, 2006 - 21:28

The BSE - SENSEX index (indices) in India

What is the meaning of a stock market? what kind of effect it produces on economy of a nation. meaning of rising and falling?
I mean to say what is exactly going in the BSE when the SENSEX is risig or falling? What will happen it will fall suddenly or rise to a pick? Also is there any relation between sensex and the value of our rupee in foreign market

The stock market is there to raise capital for businesses. In exchange for capital it gives a share of the company to each person that buys in and they have an entitlement to vote for directors and for profits.

Market rises when there is more demand and less supply.
Market falls when there is less demand and more supply.

The BSE SENSEX is the index that contains a basket of stocks with certain weightings to make up the index. No there is no direct relationship between the value of SENSEX and the rupee value.

SENSEX Weightings

More about

Download our FREE App


Signup for Free
Don't miss out on your free share trading articles.


Free Risk Money Management Calculator for those who sign up!