Dow Jones Industrial Average

(redirected from Dow Jones Industrial Index)
Also found in: Dictionary, Acronyms.

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 ?
As Wall Street markets ground to a halt this morning (NZ time) the Dow Jones Industrial index was down 777.68, or 7%.
Dow Jones flagship The Wall Street Journal reported Tuesday that Reuters is interested in buying parts of the company, including Dow Jones Newswires, and Dow Jones Indexes, which produces not only the famous Dow Jones Industrial Index, but indexes and market indicators for bourses around the world.
Fears over interest rate rises in China dragged major markets and the Dow Jones Industrial Index showed few signs of recovery at London's close.
Tokyo stocks made big gains Wednesday morning on buying almost across the board after the Dow Jones Industrial Index Average closed at its highest level since June 2001 overnight in New York.
Shares had begun to slide dramatically on Black Thursday (October 24) and the fall only ended on July 2, 1932, by which time the Dow Jones Industrial Index average had dipped almost 90 per cent.
By comparison, the Standard & Poor's 500 index fell 16.93% and the Dow Jones industrial index fell 8.52% for the same period.
Unlike the Dow Jones Industrial Index, however, there is a maximum point to the State of Caring Index.
Wall Street's Dow Jones industrial index has been hitting record highs above 10,000 points in recent weeks, sparking many analysts to warn the market is overvalued and bound to come down.
The big drop in the blue-chip Dow Jones industrial index was blamed on the parliamentary chaos in Russia.
* Set the objective that your stocks outperform the Dow Jones Industrial Index over a complete market cycle.
The Dow Jones Industrial Index lost nearly 1,200 points, still better than the more than 1,500 low, to finish the trading day down 4.6 percentand close below 25,000 at 24,246.
'We expect a rally until the end of the quarter; after that, the market will look toward outside markets such as the DJIA (Dow Jones industrial index) for direction.'

Full browser ?