Stock Market Index Quiz

What is the purpose of a stock market index?

• To track the performance of individual stocks

• To measure the state of the economy

• To predict future stock prices

• To provide information about specific sectors

Which index represents the Bombay Stock Exchange?

• S&P BSE Sensex

• CNX Nifty

• Bank Nifty

• CNX IT

What does the movement of an index reflect?

• Changing expectations of market participants

• Current stock prices

• Government policies

• Company earnings

What is the main use of an index for traders and investors?

• To track individual stock performance

• To measure portfolio returns

• To predict market trends

• To analyze company financials

How are weights assigned to stocks in an index?

• Based on company revenue

• Based on market capitalization

• Based on stock price

• Based on trading volume

Which index represents the banking industry?

• S&P BSE Sensex

• CNX Nifty

• Bank Nifty

• CNX IT

What is the purpose of benchmarking with an index?

• To compare stock prices

• To measure portfolio performance

• To predict market trends

• To analyze company financials

What is the most popular use of an index for trading?

• To track individual stock performance

• To measure portfolio returns

• To predict market trends

• To trade based on broader market sentiment

What is the construction methodology of an index based on?

• Company revenue

• Market capitalization

• Stock price

• Trading volume

Which index represents the IT sector?

• S&P BSE Sensex

• CNX Nifty

• Bank Nifty

• CNX IT