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Nasdaq

About Nasdaq

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What is Nasdaq?

The Nasdaq is the second-largest stock exchange in the world. Nasdaq, which is an acronym for National Association of Securities Dealers Automatic Quotation System, was established in 1971.
 
The US-based exchange is also the first-ever electronic stock market in the world. Back in the day, stock exchanges were physical trading floors, where prices were decided in face-to-face negotiations. Nasdaq changed the way stock exchanges functioned. It had no trading floors and let investors buy and sell stocks on a computerised systems.
More than 3,700 companies are listed including some of the largest technology firms in the world such as Apple, Microsoft, Google, and Amazon. The exchange was created by the National Association of Securities Dealers and is overlooked by the US Securities and Exchange Commission.
 
In colloquial language, when people say ‘Nasdaq’, what they refer to is the index and not the stock exchange. What they refer to is the Nasdaq Composite Index, which, is a statistical measure of a portion of the stock market.
 
Nasdaq also has a ‘Nasdaq 100’ index that tracks 100 of the largest and most actively traded equities on the exchange.
 

What is Nasdaq Composite Index?

The Nasdaq Composite Index— commonly known as just ‘Nasdaq’—is one of the most widely used indices. It tracks the performance of stocks that are traded on the Nasdaq stock exchange. It is one of the most popular stock indices tracked by market participants to represent how the market as a whole is performing.
 
To be listed on the exchange, a stock must be listed exclusively on the Nasdaq stock exchange and be a common stock of a US-based company or be an ADR (American depositary receipt) of a foreign firm. Ordinary shares, stocks of limited partnership interests and tracking equities can also be included in the index.
 
Nasdaq is a known to be a tech-heavy index. As of July 2021, technology firms made up half of the index.
 
Nasdaq Composite is a market-cap-weighted index. This means that each company included in the is weighted based on its total market capitalisation. Therefore, companies with bigger market capitalisations have a relatively more significant impact on the performance of the index than firms with smaller m-caps.
 

What is the difference between Nasdaq and NYSE?

NYSE, which is the New York Stock Exchange, is the world’s largest stock exchange based on the total market capitalisation of its listed stocks.
 
The key distinction is that Nasdaq is a dealer’s market, with participants trading through a dealer rather than directly with each other. These dealers maintain stock inventories to buy and sell from their accounts in transactions with customers and other dealers. On the other hand, NYSE is an auction market, which enables investors to transact with each other via designated market makers.
 
While both institutions are based in New York City, the location of transactions for trading on Nasdaq and on the NYSE are different. NYSE retains a physical trading floor and also conducts trades electronically from New Jersey. On the other hand, Nasdaq does not have a physical trading floor.
 
While Nasdaq is a tech-heavy index, NYSE, which was founded in 17,92, is home to many blue chip firms including Walmart and Coca-Cola.
 

What is ‘The Dow’?

The Dow refers to the Dow Jones Industrial Average (DJIA). It is an index just like the Nasdaq Composite and that indicates the performance of overall stock market.
 
The DJIA is not the same as Dow Jones and Company that is owned by News Corp. The index is owned by S&P Dow Jones Indices LLC, a joint venture of S&P Global, CME Group Inc, and News Corp.
 
Started in 1896, DJIA is a price-weighted average of 30 significant equities traded on the NYSE and the Nasdaq.
 

What is the S&P 500 Index?

The Standard and Poor’s 500 Index, which is referred to as the S&P 500 index, is one of the most popular indices in the world.
 
It comprises the shares of 500 publicly traded companies in America with the highest values of market capitalisation.
 
This index is calculated using the free-float market capitalisation method. Free-float market capitalisation refers to the value of shares that are available for public trade.
 
Because S&P 500 tracks the prices of large-cap US equities, it is considered a proxy for showing the health of stock market and the economy. 

Latest Updates on Nasdaq

Markets Today: Trump on mkts; FII; Nasdaq; Nikkei; Balaji, NAPS Global IPOs

Stock Market Today: As of 6:33 AM, GIFT Nifty Futures were down 75 points at 22,545, hinting at a negative start.

Updated On: 07 Mar 2025 | 7:39 AM IST

Markets Today: Trump tariff concessions; RBI; FIIs; NAPS Global IPO Day 3

In the previous session, equity markets logged their biggest single-day gain in a month, aiding Nifty50 to end its record 10-day losing streak. The Nifty settled at 22,337.30, up 254.65 pts or 1.15%

Updated On: 06 Mar 2025 | 7:16 AM IST

Markets Today: February Services PMI; Trump tariffs; FIIs; Shreenath IPO

Stock Markets Today: As of 6:31 AM, GIFT Nifty Futures were down 54 points at 22,137, hinting at a negative start.

Updated On: 05 Mar 2025 | 7:41 AM IST

Markets Today: Trump tariffs; FIIs; Nifty50 expiry, Beezaasan IPO allotment

As of 6:40 AM, GIFT Nifty Futures were down merely 5 points at 22,578, hinting at a flat start

Updated On: 27 Feb 2025 | 7:56 AM IST

Market Today: GIFT Nifty, Nifty rebalancing, FII, Nasdaq, Quality Power IPO

At 7:06 AM, GIFT Nifty Futures were trading 139 points lower at 22,684, hinting at a gap-down start for the bourses

Updated On: 24 Feb 2025 | 7:26 AM IST

Stock Market Close Highlights: Sensex sheds 313pts, Nifty ends at 23,696; Smallcap shares outperform

Stock Market Highlights on February 5, 2025: Broader markets outperformed the benchmarks, with small-cap shares leading the charge, as the Nifty Smallcap100 index ended higher by 1.85 per cent

Updated On: 05 Feb 2025 | 3:42 PM IST

Wall Street joins global stock slide, pares losses with Mexico tariff pause

Automakers, chip stocks fall after Trump announces trade tariffs

Updated On: 03 Feb 2025 | 6:27 PM IST

Markets Today: US Fed outcome; L&T, TaMo Q3; Dr. Agarwal's, CLN Energy IPOs

In the previous session, the Sensex jumped 631.55 points, or 0.83 per cent, to settle at 76,532.96. The Nifty50 also added 205.85 points, or 0.90 per cent, to close at 23,163.10

Updated On: 30 Jan 2025 | 7:02 AM IST

Market Today: Maruti, TaMo Q3; Nasdaq; FIIs; Denta Water, Dr Agarwal's IPOs

In the previous session, the Sensex gained 535.24 points, or 0.71 per cent, closing at 75,901.41. Similarly, the Nifty50 closed higher at 22,957.25, up 128.10 points or 0.56 per cent

Updated On: 29 Jan 2025 | 6:58 AM IST

Nvidia, energy stocks: DeepSeek AI triggers market sell-off; time to worry?

The emergence of an almost-as-good AI utility created at much lower cost that also uses much less energy has set the proverbial cat amongst the pigeons.

Updated On: 28 Jan 2025 | 10:38 PM IST

Markets Today: Cipla, Bajaj Auto Q3; RBI; Nasdaq; DeepSeek; CLN Energy IPO

At 6:31 AM, GIFT Nifty futures pointed to a positive start, trading 76 points higher at 22,922

Updated On: 28 Jan 2025 | 7:01 AM IST

Nvidia's $465 bn plunge triggered by DeepSeek, largest in market history

The S&P 500 fell as much as 2.3 per cent early Monday and the Nasdaq 100 tumbled as much as 3.6 per cent before paring the drop

Updated On: 27 Jan 2025 | 9:38 PM IST

Experiential travel a new avenue of strong growth: MMT Group CEO Magow

Magow said that growth in the travel and tourism industry is aided by a mindset shift, with people looking for new and unique experiences

Updated On: 27 Jan 2025 | 11:57 PM IST

Stock Market Highlights: Sensex ends 567pts up led by Infy, HDFC Bank; Broader indices fall over 1%

Stock Market Close Highlights, Jan 22: The NSE Nifty 50 index ended 131 pts higher at 23,155. Sectorally, the Nifty IT index soared over 2 per cent, while the Realty index cracked almost 5 per cent.

Updated On: 22 Jan 2025 | 4:01 PM IST

Global stocks rise on US inflation data, upbeat fourth quarter earnings

Adding to the upbeat tone for the stock market were bumper fourth-quarter results from the likes of JPMorgan, which reported its biggest annual profit on record on Wednesday

Updated On: 15 Jan 2025 | 11:32 PM IST

Markets Today: WPI, CPI; GIFT Nifty; HCLTech; Quadrant, Capital Infra IPOs

In previous trading session, the Sensex plunged 1,048.90 points, or 1.36 per cent, to close at 76,330.01. Similarly, the Nifty50 dropped 345.55 points, or 1.47 per cent, ending the day at 23,085.95

Updated On: 14 Jan 2025 | 7:16 AM IST

Markets Today: GIFT Nifty; Dec Inflation; HCLTech Q3; Standard Glass IPO

At 6:32 AM, GIFT Nifty futures indicate a gap-down opening for the markets, trading 160 points lower at 23,341

Updated On: 13 Jan 2025 | 8:13 AM IST

Infosys countersues Cognizant, its CEO in battle over misuse of information

Infosys, which filed this suit in the Northern District of Texas, has requested a jury trial and demanded triple the damages it claims to have suffered

Updated On: 11 Jan 2025 | 12:14 AM IST

Markets Today: TCS, IREDA Q3; Fed Dec minutes; Standard Glass IPO allotment

In the previous session, the Sensex ended at 78,141.06, registering a decline of 58 points or 0.07 per cent, while the Nifty50 closed at 23,688.95, down 19 points or 0.08 per cent

Updated On: 09 Jan 2025 | 7:10 AM IST

Market Today: FY25 GDP; Quadrant, Capital Infra IPOs; Indo Farm IPO listing

Early signs indicate a positive opening for the markets. At 6:37 AM, GIFT Nifty futures were trading 51 points higher at 23,772, pointing to a higher start for the bourses

Updated On: 07 Jan 2025 | 7:12 AM IST