What is a market index? Identify and describe the major market indices in Canada and the United ...

A market index is a measure of the market value of stocks; provides a summary or price trends in a specific industry or of the stock market as a whole
Major market indices:
- The TSE 300 Average–The TSE 300 index is an average computed from 300 different top Canadian stocks from 14 different industry groups such as gold and silver, forest products, metals and minerals, transportation, and financial services
- The Dow Jones Industrial Average–the Dow is the sum of market prices for 30 of the largest industrial firms listed on the NYSE
- The S&P 500–consists of 500 stocks, including 400 industrial firms, 40 utilities, 40 financial institutions, and 20 transportation companies; the index average is weighted according to market capitalization of each stock
- The NASDAQ Composite Index–all NASDAQ-listed companies are included in the index and it includes U.S. and non-U.S. based common stocks listed on the NASDAQ market