Understanding Nifty 50 and BSE SENSEX: A Comprehensive Guide
In the world of stock market trading, two terms often emerge: Nifty 50 and BSE SENSEX. These terms, while sounding like individual stocks, actually represent indices that play a crucial role in the Indian financial landscape. In this comprehensive guide, we'll delve into what Nifty 50 and BSE SENSEX are, their significance, and how they impact investors' decisions. What are Nifty 50 and BSE SENSEX? Nifty 50 and BSE SENSEX are both indices that serve as barometers for the Indian stock market's overall performance. They are essentially baskets of stocks representing different sectors of the economy, providing investors with insights into the market's health and trends. Nifty 50: Nifty 50, formally known as the National Stock Exchange Fifty, consists of the top 50 companies listed on the National Stock Exchange (NSE) of India. These companies are selected based on various criteria such as market capitalization, liquidity, and sector representation. Nifty 50 covers a divers...