Which of the following is an example of a stock index? A. SENSEX B. Euro C. Bitcoin D. Gold
Question
Which of the following is an example of a stock index?
A. SENSEX
B. Euro
C. Bitcoin
D. Gold
Solution
The correct answer is A. SENSEX. A stock index is a measurement of a section of the stock market. It is computed from the prices of selected stocks. SENSEX, also known as the S&P BSE SENSEX, is a free-float market-weighted stock market index of 30 well-established and financially sound companies listed on Bombay Stock Exchange. The other options - Euro, Bitcoin, and Gold - are not stock indexes. Euro is a currency, Bitcoin is a type of digital currency known as a cryptocurrency, and Gold is a precious metal often used as a standard for currency exchange rates.
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