Beginners question.

Cash said: "Hi, I've been doing alot of reading up on the stock market and how it works. Learnt alot. However, there's been one or two things i haven't found the answer to. One of which being 'points'. What are points. ie 'The dow closed gaining 141 points today finishing at 10,589.24' - I'm assuming a market value indicator. If so how is this all measured and what do they represent. Thanks."

HappyHarry said: "Hi Cash and welcome. The Dow Jones Industrial Average is an index of 30 of the most stable or "bellweather" companies in the US. That is what people refer to when they say the "Dow is up" or something along those lines."

Cash said: "Hi, yes, i know about the dow. Just wondering about 'points' and how they are measured, using the dow as an example. Thanks"

HappyHarry said: "Here's a pretty boring [url=http://www.investopedia.com/articles/02/082702.asp]article[/url] which explains it."

Cash said: "Thanks, just what i needed."