Market Mood Index
Ninad RamdasiCategories: DSIJ_Magazine_Web, DSIJMagazine_App, Editorial, Letter to Editor, Letter to Editor
The cover story in a recent issue provided some good insights on evaluating IPOs.
The cover story in a recent issue provided some good insights on evaluating IPOs. However, could you shed some light on the Market Mood Index (MMI) and how effectively does it reflect market sentiment? - Anil Parmar
Editor Responds: We appreciate your kind words of encouragement. The Market Mood Index (MMI) serves as an indicator of the collective sentiment within the stock market, encompassing both bullish and bearish outlooks. Investors and traders utilise the MMI to gauge the overall market sentiment, drawing from their own judgments and emotions. Typically, MMI is expressed as a numerical value, with a range of 0 to 100. A score of 50 signifies a neutral market sentiment. Scores exceeding 50 suggest a bullish sentiment, denoting investor optimism, while scores below 50 indicate a bearish sentiment, reflecting investor pessimism. Keep writing to us with your queries