Your Beginning | Market Classroom

An interesting market lesson from today's close:

The S&P 500 finished lower even though most of its individual stocks advanced.

How is that possible?

Because the largest companies carry significantly more weight in the index than smaller companies.

A decline in major technology stocks can outweigh gains across many other businesses.

Today's question:

When you evaluate the market, do you look only at the S&P 500 and Nasdaq, or do you also pay attention to how many individual stocks are advancing?

Let's discuss.