Dow Jones Industrial Average


Also found in: Dictionary, Acronyms, Encyclopedia, Wikipedia.

Dow Jones Industrial Average

The best known U.S. index of stocks. A price-weighted average of 30 actively traded blue-chip stocks, primarily industrials including stocks that trade on the New York Stock Exchange. The Dow, as it is called, is a barometer of how shares of the largest US companies are performing. There are hundreds of investment indexes around the world for stocks, bonds, currencies, and commodities.

Dow Jones Industrial Average

A stock market index founded in 1896 by Charles Dow tracking 30 companies in various industries thought to be representative of the American economy. It is a price-weighted index, meaning that stocks with higher prices per share affect the average more. It also scales its averages to account for stock splits and other changes in the companies tracked. All stocks tracked in the DJIA are traded on either the New York Stock Exchange or NASDAQ. It is considered the premier securities index in the United States.

Dow Jones Industrial Average (DJIA).

The Dow Jones Industrial Average (DJIA), sometimes referred to as the Dow, is the best-known and most widely followed market indicator in the world. It tracks the performance of 30 blue chip US stocks.

Though it is called an average, it actually functions more like an index. The DJIA is quoted in points, not dollars. It's computed by totaling the weighted prices of the 30 stocks and dividing by a number that is regularly adjusted for stock splits, spin-offs, and other changes in the stocks being tracked.

The companies that make up the DJIA are changed from time to time. For example, in 1999 Microsoft, Intel, SBC Communications, and Home Depot were added and four other companies were dropped. The changes are widely interpreted as a reflection of the emerging or declining impact of a specific company or type of company on the economy as a whole.

References in periodicals archive ?
Created in 1896 by Charles Dow, one of the founders of Dow Jones, the Dow Jones Industrial Average originally had 12 stocks, including a leather maker, a steel provider and a sugar producer.
Chart: The Dow Jones industrial average closed above 10,000 less than a year after it broke through 9,000.
When the Dow Jones industrial average plunged to the 7,500 level in late summer after setting a new high of 9337.
Since January 2004, AAPL has outpaced the Dow Jones Industrial Average (DJIA).
The Dow Jones industrial average, which set a record Monday, is up 18.
The Dow Jones Industrial Average (DJIA) has added 16 points, while both the S&P 500 Index (SPX) and the Nasdaq Composite (COMP) have increased two points.
3, the eight contestants were plunged into an extremely volatile market that saw the Dow Jones industrial average drop 1,200 points - or 14 percent - in less than a month.
The Dow Jones Industrial Average crossed through 12,310 earlier today to peg yet another new all-time high but has now pared its gains ever so slightly.
The Dow Jones industrial average, up 110 points with an hour left for trading, closed 330.
As we roll into the afternoon, the Dow Jones Industrial Average is backing off from yet another all-time high reached just before 1:00 p.
NEW DOW MEMBERS: The Dow Jones transportation average and the Dow Jones industrial average are changing.
The Dow Jones Industrial Average (DJIA - 12,135) is up 27 points while the S&P 500 Index (SPX - 1,384.

Full browser ?