CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage 72.02% of retail investor accounts lose money when trading CFDs with INFINOX. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Trading indices CFDs allows you to speculate on the economic strength of a country or region’s biggest businesses. Indices represent the value of a basket full of stocks in a geographic or economic area. For example the FTSE 100 is the value of the top 100 stock trading companies on the London Stock Exchange.
Geo-political and economic events have big effects on the indices.
Indices contain stocks of the biggest businesses allowing you to trade their combined value.
Lots of movement in the price of the indices offers plenty of opportunity for traders.
Indices offer a great way for you to trade on the overall value of a regional index without having to analyse individual companies or stocks. Get an understanding of the strength of the stock markets while managing your potential overall risk. The value of an index fluctuates based on the fortunes of the individual companies in the real world. Economic news such as interest rate freezes, inflation and rises in spending can all cause the value of markets to rise or fall. In some respects, bigger companies can affect the performance of a particular index due to their size and market dominance. For example the FAANG companies (Facebook, Amazon, Apple, Netflix and Google) represent around 11% of the value of the S&P 500. Trading indices CFDs is a great way to diversify your portfolio and take advantage of economic market trends and business performance.
Staying up to date with market developments is one of the most important factors of financial trading. Do your research, keep your ears to the ground and you could be one step ahead of the Bull and the Bear. IX Labs is our unique tool which uses AI to read thousands of unique news items per day, indicating market sentiment from across the industry in a bold visual style. See at a glance what traders are saying. Read the important headlines from within your trading platform and be among the first to know which way the market is heading.