Are synthetic indices affected by economic news or central banks?

No. ThinkMarkets synthetic indices are not linked to real-world economies or underlying financial markets.

Their price movements are generated algorithmically rather than being driven by external economic or market events.

This means events such as:

  • central bank interest-rate decisions;
  • inflation reports;
  • employment data;
  • company earnings; and
  • geopolitical news

do not directly determine the price movements of synthetic indices.

Synthetic indices are designed to simulate market-like price behavior independently of real-world economic events.

Although they are not affected by economic news, synthetic indices can still experience significant and rapid price movements.