Greetings all
I want to know how the ASX200 is calculated (Is it the sum total of the 200 share prices or is some sort of algorthim used) and what is more important in a stock for causing a general move in the index, Price or market capitalisation. For example which is more influential in causing strong moves? a cheaper stock with more shares or an expensive stock with fewer shares given that a higher price would make up more of the index.
cheers
I want to know how the ASX200 is calculated (Is it the sum total of the 200 share prices or is some sort of algorthim used) and what is more important in a stock for causing a general move in the index, Price or market capitalisation. For example which is more influential in causing strong moves? a cheaper stock with more shares or an expensive stock with fewer shares given that a higher price would make up more of the index.
cheers