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How do market indices (like the S&P 500, Dow Jones, NASDAQ) work, and what do they indicate?
Original post by satyam09
How do market indices (like the S&P 500, Dow Jones, NASDAQ) work, and what do they indicate?

Is this a homework question?

If so:

Think what are indicies and why are certain stocks included in those indices

Google the indices for what they are proxies for

If you do a quick search on Wikipedia or Investopedia, you would quickly find the answers that you're looking for.

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