Definitions for "stock index"
Index of market prices of a particular group of stocks, such as the SP 500 and the Nasdaq Composite Index.
(plural: stock index or stock indices) an indicator of stock market activity that sums up market performance in one number. Reflects the current prices of investments in comparison to the past, and is based on the prices of a representative selection of companies in the market. Can be calculated as a simple average of prices of particular stocks (price-weighted index) or as an average based on the total market value of the particular companies (value-weighted).
A composite measure of the movement of a market as a whole consisting of a large number of shares which are usually representative of various sectors of industry. Indices ususlly carry some form of weighting which can reflect, for example, the differing importance of components or market capitalisation. See Weighted Index.
A collection of stocks whose value is a benchmark for the overall movement of a particular type of stock.