Dow Jones Industrial Average

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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.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

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.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

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.

Dictionary of Financial Terms. Copyright © 2008 Lightbulb Press, Inc. All Rights Reserved.
References in periodicals archive ?
"Those fluctuations, at least one of the indications we monitor - namely mood, calm versus anxious - is actually correlated with the Dow Jones Industrial Average's closing values," he said.
So far this year Japan's Nikkei has lost 15.8 per cent, Hong Kong's Hang Seng 11.6 per cent and the Dow Jones industrial average is down 14.9 per cent.
The Nikkei's drop, which at one point hit five per cent, vastly outpaced falls in other Asian stock markets and even outstripped the 2.3 per cent loss marked by the Dow Jones industrial average from December 28 to Thursday, during which Tokyo markets were closed for the New Year's holiday.
New York's Dow Jones Industrial Average last night endured its worst decline since the September 11 2001 terror attacks, with markets in Singapore and Australia following suit.
Did you know that the Dow Jones Industrial Average has been at its highest point ever?
Bush's weight (up) and blood pressure (down); presidential approval ratings (up and then way down); winners of Nobel Prizes, Tonys, Oscars, Pulitzers; unemployment rates; the Dow Jones Industrial Average; winners of all the major sports competitions.
During two historic, long and lackluster stock-market periods, the right kind of equity-indexed annuity would have outperformed the Dow Jones Industrial Average, including reinvested dividends, according to Pete Winer, a chartered financial consultant with Covenant Reliance Producers LLC, Nashville, Tenn.
The stock market reported good news late in December as the Dow Jones Industrial Average reached its highest level in 3 1/2 years.
The Dow Jones industrial average shed 101.61 point or 1.31 per cent to 7,673.99.
At the time the Journal article appeared, the Dow Jones Industrial Average stood at about 9,600.
Targeted to market professionals and individual investors, the letter includes examination of support, resistance and momentum for such financial instruments as Dow Jones Industrial Average, NASDQ Composite, 10-Year Yield, Eurodollar interest rates, Nymex crude, and Euro and Japanese Yen interest rates.
It was a momentous day for Wall Street as the Dow Jones Industrial Average gained more than 20 points in the first post-Sept.

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