We all are well familiar with the word 'Economy'; perhaps we also know that this word regulates our lives in many forms. In our day - to - day lives we also come across some peculiar jargons like: NASDAQ, NYSE, Dow, S&P: but we rarely understand pretty well what they mean and how they function and what impact do they have on our economy. I am initiating a small step to introduce you to the world of stock market around us. It's my petite effort to bring the best of the stock market updates, jargons, technology and news reel to acquaint my fellow companions about the recent activities of stock market.  

I shall begin my blog with a brief introduction of jargons: NASDAQ, NYSE, Dow and S&P. I believe that everyone must be aware of these financial institutions and must update themselves with what is happening on an International level and what these International financial agencies are doing. 

NASDAQ : 

National Association of Securities Dealers Automated Quotations: is an American Stock Exchange. NASDAQ primarily evolved as a U.S. based equities exchange in 1971. It was founded by the National Association of Securities Dealers (NASD) Worldwide it is recognized as a global financial technology, Information and trading services provider to capital markets. 

It operates in over 50 offices in 26 countries across 6 continents with around 3500 colleagues - in every capital market. It is the second largest exchange in the world by market capitalization after New York Stock Exchange. 

NASDAQ is owned and operated by The NASDAQ OMX Group. It is headquartered at New York, NY. NASDAQ OMX Group, Inc. is an American Multinational Financial Service Corporation that owns and operates the NASDAQ Stock Market and 8 Europena Stock Exchanges namely: American Stock Exchange, Copenhagen Stock Exchange, Helsinki Stock Exchange, Iceland Stock exchange, Riga Stock Exchange, Stockholm Stock Exchange, Tallinn Stock Exchange and NASDAQ OMX vilnius.   

Its President and CEO is Robert Greifeld.

NYSE:

Based in the New York city, New York Stock Exchange is the largest equity based exchange worldwide. It is based on the total market capitalization of its listed securities. At the time of its establishment NYSE was a private organization, it became a public entity in the year 2005 following the acquisition of electronic trading exchange Archipelago.

Because of its long operating history, NYSE is home to the majority of the world's largest and best-known companies. Foreign-based corporations can list their shares on the NYSE if they adhere to certain Securities and Exchange Commission (SEC) rules known as listing standards.

The NYSE works through MOnday to Friday 9:30 am - 4:00 pm (ET).    

DowJones Industrial Average:

It is a price - weighted average of 30 significant stocks traded on the New York Stock Exchange and the NASDAQ. The DJIA was invented by Charles Dow in the year 1896.

It is one of the oldest and single most watched index in the world. It is often referred as "The DOW". It includes the companies like General Electric, Disney, Exxon, and Microsoft.

When the Television networks say 'that the market is up today' they generally refer to DOW.

S and P's 500:

Standard and Poor's 500 (S&P 500) is an American Stock Market index based o the capitalizations of 500 large companies having common stock listed in the NYSE & NASDAQ.

Its index components and their weightings are determined by S&P Dow JOnes Indices. S&P's 500 is different form U.S. stock market indices , like : Dow Jones Industrial Average (DJIA) or NASDAQ index, because of tis diverse constituency and weighted methodolgy.

S&P's 500 is the most commonly followed equity indices, and many consider it one of the best representations of the U.S. stock market.

It was developed and continues to be maintained by S&P Dow Jones Indices: a joint venture majority-owned by McGraw Hill Financial. The DJIA was at one time the most renowned index for U.S. stocks but, because the DJIA contains only 30 companies, most people agree that the S&P 500 is a better representation of the U.S. market.


- Neetu Mishra