FMP
Jan 3, 2024 7:58 AM - Parth Sanghvi
The interconnectedness of global events and financial markets has a profound impact on stock market indexes worldwide. Explore how geopolitical, economic, and environmental events reverberate through stock markets, affecting volatility, resilience, and regional dependencies.
Briefly introduce stock market indexes and their significance as benchmarks reflecting the performance of a group of stocks within an economy or sector. Highlight major global indexes such as S&P 500, FTSE 100, Nikkei 225, and explain their relevance in measuring market movements.
Discuss how major global events - geopolitical tensions, economic policies, natural disasters, and pandemics - trigger fluctuations in stock market indexes. Elaborate on the immediate impact of such events, leading to increased volatility, market uncertainty, and investor reactions.
Explore how stock market indexes exhibit resilience in the face of adversity. Highlight instances where markets recover swiftly post-major events, citing examples of past economic crises or geopolitical tensions and subsequent market rebounds.
Explain how global events impact regional stock market indexes differently. Analyze the dependencies between indexes from various regions and how a crisis in one region could spill over and affect other global markets. Discuss correlations between major indexes and how diversification across regions can mitigate risks.
Illustrate the impact of significant global events on stock market indexes through case studies. Explore events like the 2008 financial crisis, Brexit, US-China trade tensions, and COVID-19 pandemic, highlighting the specific reactions of different stock market indexes and their subsequent recoveries.
Discuss strategies investors adopt during times of heightened global uncertainty. Explain the role of risk management, portfolio diversification, hedging strategies, and safe-haven assets in mitigating risks associated with global events.
Touch upon the challenges of predicting stock market responses to global events. Discuss how analysts and investors use historical data, volatility indices, and scenario planning to anticipate market movements amid uncertain global landscapes.
Summarize the intricate relationship between global events and stock market indexes, emphasizing the need for investors to understand the impacts of these events to make informed investment decisions in an ever-changing global environment.
Sep 11, 2023 1:38 PM - Rajnish Katharotiya
Price to Earnings is one of the key metrics use to value companies using multiples. The P/E ratio and other multiples are relative valuation metrics and they cannot be looked at in isolation. One of the problems with the P/E metric is the fact that if we are in the peak of a business cycle, earni...
Sep 11, 2023 1:49 PM - Rajnish Katharotiya
Price-to-Earnings ratio is a relative valuation tool. It is used by investors to find great companies at low prices. In this post, we will build a Python script to calculate Price Earnings Ratio for comparable companies. Photo by Skitterphoto on Pexels Price Earnings Ratio and Comparable Compa...
Oct 17, 2023 3:09 PM - Davit Kirakosyan
Shares of VMware (NYSE:VMW) witnessed a sharp drop of 12% intra-day today due to rising concerns about China's review of the company's significant sale deal to Broadcom. Consequently, Broadcom's shares also saw a dip of around 4%. Even though there aren’t any apparent problems with the proposed solu...