In the last 10 years or so, one company has not only revolutionized how we buy, store, and listen to music, but also how we communicate via their unique devices. And talk about customer loyalty, there are only a handful of companies throughout history that can claim such fierce devotion to their products; of course we’re referring to Apple Corporation.
So why am I writing about Apple in an article dedicated to futures trading? To some of you, it may be obvious that Apple is influencing the movement of not only the Nasdaq, but the broader market in general, and for the rest of you, this piece will try and get to the “Why” of this phenomenon.
Let’s start with the basics: all stock indexes, i.e. the Nasdaq 100, S&P 500, and Dow Jones industrial Average are aggregates of all the stocks in those indexes. These are then calculated to construct the Index. So as an example, the Nasdaq- 100 Index is taking the largest 100 companies in the Nasdaq market to assemble this particular Index. Most of the major equities indexes are cap weighted with the only exception being the Dow Jones Industrial average. The Nasdaq for example, is a Cap… Continue Reading
