IDNX numbers for May are in, and although there was a minor decline in domain prices during May, the market was overall a stable one. A decrease of only 0.2%, the dip in the market was also a comparatively small decline when considering other indices such as the NASDAQ 100.
Though the market did not grow during May, this stagnation is understandable in light of the overall unfavorable economy. For example, NASDAQ 100 fell by 2.4%, Facebook's first few weeks at the stock exchange disappointed investors, and the European economic crisis continued to take its toll on stock exchanges, with German index DAX losing 3.3% in May.
One positive sign by comparison to April’s IDNX results is the increase in liquidity within the domain market. More domain sales took place in May than in April, signaling a healthy market in spite of the slight decline.
About IDNX
Developed by Massachusetts Institute of Technology (MIT) researcher Thies Lindenthal, IDNX is the first scientific grade price index for the domain market, and is based on over 6 years of Sedo transaction data. IDNX takes into account the inherent quality of domains, and compares the trends in transacted domains to those of other economic indices such as the NASDAQ, bringing more transparency to domain markets. It provides a reliable benchmark for domain name investors and novices alike to determine price trends, investment opportunities, and the value of domains as an economic asset.