S&P 500 Today: Live Index Level and Chart

What is the S&P 500?

The S&P 500 tracks roughly 500 of the largest publicly traded US companies, weighted by market capitalization. Because it covers about 80% of the US stock market’s value, it is the most widely followed gauge of American stocks — and the benchmark most fund managers are measured against.

Large technology companies make up a big share of the index, so their earnings and outlooks have an outsized effect on its daily moves.

What moves the S&P 500?

• Corporate earnings: quarterly results and guidance drive individual stocks and the index.
• Interest rates: Federal Reserve decisions change how investors value future profits.
• Economic data: jobs, inflation (CPI) and GDP reports shift expectations.
• Sentiment and volatility: the VIX “fear index” tends to rise when the market falls.

Investing in the S&P 500

The simplest way to own the whole index is a low-cost S&P 500 index fund or ETF, with annual fees often below 0.10%. Historically the index has returned about 10% a year on average before inflation, but with significant drawdowns along the way — including declines of more than 30% in some years.

1. Invest regularly (dollar-cost averaging) rather than trying to time the market.
2. Use tax-advantaged accounts such as a 401(k) or IRA.
3. Hold for the long term — see how growth compounds with our compound interest calculator.

Read index funds for beginners and how to start investing in stocks for a step-by-step guide.