The Hang Seng Index (HSI) is the most influential stock price index used to reflect the trend of Hong Kong stocks, which can well reflect the overall volatility of Hong Kong's stock exchange market, and is an important indicator of Hong Kong's stock market prices, and is compiled by Hang Seng Index Services Limited, which is a wholly-owned subsidiary of Hang Seng Bank in Hong Kong.
Its index is calculated from the market capitalization of a number of constituent stocks, representing 63% of the 12-month average market capitalization coverage of all companies listed on the Hong Kong Stock Exchange. The Hang Seng Indexes are calculated and reviewed on a quarterly basis by Hang Seng Indexes Company Limited, a subsidiary of Hang Seng Bank, which publishes adjustments to the constituent stocks.
What affects the rise and fall of the Hang Seng Index?
1) Domestic economy GDP, CPI, bank prime rate up and down regulation, changes in monetary policy will affect the Hang Seng Index rise and fall. Loose monetary policy is good, tight monetary policy is bad.
② Hang Seng Index contains a number of mainland Chinese companies, such as the Bank of China, Industrial and Commercial Bank of China, etc., the positive or negative of these companies will affect the index up and down.
③ Hang Seng Index belongs to the international disk, so the transaction is also distributed globally, the international economic situation and the index changes will also affect, Hang Seng Index will also be affected by the ups and downs. For example, the Dow Jones index hit hard, due to the time difference, the reaction to the Hang Seng Index will also be negative.
4 U.S. interest rate hikes, funds have flowed in, thus having an impact on the Hang Seng Index and even global indices.
⑤ The stock market is a barometer of the economy, and the Hang Seng Index is a reflection of Hong Kong's economy. Economic growth and increased investor confidence will make the Hang Seng Index rise as well.