FTSE and DJIA link

[lionfly]

Hi there, I have a newbie question:

Is FTSE calculated by the share price of those 100 companies?

If so, then when the UK market is closed, why the DJIA movement moves FTSE in the same strength? Can US money buy/sell UK FTSE companies shares when Uk market is closed?

Otherwise, how is FTSE calculated when UK market is closed?

 

[Rhody Trader]

Yes, the FTSE index is calculated from the price of the included stocks.

As for US action moving the U.K. market, keep in mind that all of the major global stock markets are quite closely linked. Many companies are cross-listed on multiple exchanges. Also, there's non-exchange trading which goes on in the shares and futures just about 24-hours these days.

 

[tar]

Ftse index doesnt move after Uk market get closed and settled ,the Ftse 100 futures is what keep moving and this contract is moved by traders , they try to reflect the Ftse100 cash index while shares at UK is still trading , and after the close traders follows Us major indices because it is an indicator for stocks enviroment worldwide ( bearish , bullish ) , plus the fact that there is major shares r shared on many indices worldwide .