Sensex, Overview of India’s Premier Stock Market Index

1. Overview of India’s Premier Stock Market Index:
i. Introduction:
The Bombay Stock Exchange (BSE) Sensitive Index, popularly known as the Sensex, is a barometer that reflects the health of the Indian stock market.

As one of the most widely tracked and reported stock market indices in India, the Sensex plays a pivotal role in shaping investor sentiment and influencing financial decisions.

This article delves into the intricacies of the Sensex, exploring its significance, calculation methodology, and the factors that impact its movements.

ii. Historical Background:
Launched on January 1, 1986, the Sensex marked a significant milestone in India’s financial landscape.

Conceived by the Bombay Stock Exchange, the index initially included 30 stocks representing various sectors of the Indian economy.

Over the years, the index has undergone multiple revisions to ensure its relevance and accuracy in reflecting market trends.