It now looks as if it could be said that the panic is over. I beg to differ. Indices do not tell the whole story.
First that is because they can be manipulated. Share buy backs are, for example, a deliberate exercise in share price inflation.
In the FTSE indices, share prices are weighted by market capitalisation,
Share buybacks raise the share price, ceteris paribus. That’s the point of them. But they raise the price by reducing the number of shares in issue. That’s the point of them. Thus the effect, ceteris paribus, of the share buyback upon market capitalisation, and thus the index, will be zero.