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What Is the Nasdaq Composite Index?

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What Is the Nasdaq Composite Index?

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Nasdaq Composite Index

The Nasdaq Composite Index is a market capitalization-weighted index of almost all the stocks listed on the Nasdaq stock exchange. It is a broad index that is heavily weighted toward the important information technology sector, followed by consumer discretionary and healthcare companies. The index is composed of both domestic and international companies.

The Nasdaq Composite Index is one of the most widely-watched indexes in the world, along with the Dow Jones Industrial Average and the S&P 500, and it is often seen as a stand-in for the technology sector, due to its heavy weighting in tech companies.

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