The most recent all-time-high record (as of this writing) was on Jan. 4, 2022, when it closed at 36,799.65. Titan Global Capital Management USA LLC (“Titan”) is an investment adviser registered with the Securities and Exchange Commission (“SEC”). By using this website, you accept and agree to Titan’s Terms of Use and Privacy Policy. Titan’s investment advisory services are available only to residents of the United States in jurisdictions where Titan is registered. Nothing on this website should be considered an offer, solicitation of an offer, or advice to buy or sell securities or investment products.
These changes are not done often to ensure the index’s stability and continuity. Uncertainty had been hanging over the markets because of the unprecedented refusal of then-President Donald Trump to concede the election https://www.tradebot.online/ to President-elect Biden. When Trump began the transition process late on Nov. 23, 2020, stocks came roaring back. 15This was the Dow’s close at the peak on October 9, 2007 before the financial crisis of 2007–2008.
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On Aug. 17, 1998, Russia devalued the ruble and defaulted on its bonds. By Aug. 31, the Dow had fallen 13%, from 8,714.64 on Aug. 18 to 7,539.06 on Aug. 31. The Long-Term Capital Management hedge fund almost collapsed, threatening to push its banking investors into bankruptcy. Former Federal Reserve Chairman Alan Greenspan convinced them to support the hedge fund, averting further disaster.
For instance, Salesforce and Microsoft have strong market positions and solid growth prospects that could unlock plenty of value for patient shareholders. The recession from 1973 to 1975 also led to a falloff for the Dow, which dropped 45% from its 1,051 peak in 1973 to just under 600 in 1974 (about 7,486 and 3,871 points, respectively, inflation-adjusted). The Dow also lost 26.5% during the Cuban missile crisis of 1962. 18The Dow first traded above 19,200 during the session on Wednesday, November 30, 2016, then flirted with the same milestone the next day.
After recovering from its Great Depression level, the Dow continued to be affected by several recessionary periods and crises leading up to the 2009 downturn. The index had three nine-day runs, last occurring in 1955 (when there were four nine-day stretches). The Dow continuously moved higher eight months in a row (the last occurrence of this was in 1995). On July 3, the Dow hit a new high when the Trump administration announced it would resume trade negotiations with China, averting additional tariffs (taxes on imports). The Dow Jones Industrial Average is one of the many gauges of stock market performance.
- Journalist Charles Dow and his business partner, Edward Jones, established the Dow Jones Industrial Average in 1896 with 12 companies in the industrial sector.
- The average closed at 2,999.75 on Monday, July 16, 1990, and closed unchanged the following day;[17] however, it would take until April 17 of the next year for the Dow to finally close above 3,000.
- In the midst of a recession, the Dow has two milestone days of gains.
- Stay informed on the most impactful business and financial news with analysis from our team.
- Past performance is never a guarantee of future returns, but crossing the bull market threshold has historically been a good sign for stocks.
23The Dow first traded above 35,000 on Monday, May 10, 2021 before closing below it for the day. After two and a half months worth of several attempts, the Dow finally closed above 35,000 on Friday, July 23, 2021. 13The Dow first traded above 10,000 on Tuesday, March 16, 1999, but dropped back before closing that day. The Dow closed at 9,997.62 on Thursday, March 18, 1999.[18] It would take nearly two weeks to close above 10,000 on Monday, March 29, 1999. Stock market gains since the 2008 financial crisis were mediocre in volume. Only three days traded more than 200 million shares, a level similar to the late 1990s.
A Brief History of the Dow
A bull market, or a bull run, is an extended period of rising stock prices. A bull market is the inverse of a bear market, which is a downward trending stock market. When the stock market crashed on October 19, 1987 — a date known colloquially as Black Monday — the Dow experienced its largest percentage drop in history, a whopping 22.6% decrease in a single day. 5This was the Dow’s close at the peak of the 1920s bull market on Tuesday, September 3, 1929 before the stock market crash. This level would not be seen again until Tuesday, November 23, 1954, more than 25 years later.
The Dow fell 17% in three months, from 2,864.60 on Aug. 2 to 2,365.10 on Oct. 11, 1990. It beat its January high, rising to 9,093.24 by the close of the day. The Senate reintroduced the bailout as the Troubled Asset Relief Program on Oct. 3. The Dow gained 3,472.56 points during 2013, higher than any prior year on record. Charts and graphs provided within are for informational purposes solely and should not be relied upon when making any investment decision.
Take a look at the Dow Jones Industrial Average over the course of its history and you also have a reliable history of the U.S. stock market. Its peaks and valleys shed light on the workings — and volatility — of the global economy. 11The Dow reached an intraday high above 3,000 for the first time on Friday, July 13, 1990, before falling back below by the close.
The rate of return on investments can vary widely over time, especially for long term investments. Investment losses are possible, including the potential loss of all amounts invested, including principal. Brokerage services are provided to Titan Clients by Titan Global Technologies LLC and Apex Clearing Corporation, both registered broker-dealers and members of FINRA/SIPC. You may check the background of these firms by visiting FINRA’s BrokerCheck. The world’s stock markets serve as a clearinghouse for investors to come together to buy and sell shares, and also serve as a barometer of a society’s fears and hopes. The Dow experiences its largest single-day percentage drop of 22.6% on Oct. 19,1987.
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Building on that, Salesforce and Microsoft are leaning into the growing demand for artificial intelligence (AI). In fact, Morgan Stanley analyst Keith Weiss argues Microsoft in particular is the software company best positioned to monetize generative AI. But both could be long-term winners as more businesses seek productivity gains through automation. Perhaps the most infamous trough was during the Great Depression, in which the Dow lost about 90% of its value over three years. It hit a low of 41.22 in 1932 (about 908 points, inflation-adjusted).
Most of them are open to trade Monday through Friday during regular business hours in local time. The Dow’s history underscores the inevitable volatility of the stock market. But just because the stock market is volatile doesn’t mean you should shy away from investing in it. Titan helps you take advantage of both of these strategies by providing you with a diversified portfolio that enables healthy investing habits. Learn more about how to invest despite the market’s dips by downloading Titan’s app today.
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This history of the Dow since the Great Depression demonstrates how stock market fluctuations reflect the natural stages of the business cycle. This was the Dow’s third consecutive trading day with a record close and the fourth record closing in just two months. The previous high was recorded just a day prior, when the index ended the trading day at 36,585.06. Learn all about how the classification system that separates the stock market into 11 sectors can help investors understand the different sectors of the economy. In 2020, the Dow set a record high of 28,868.80 on Jan. 2 and another record a week later. After experiencing three of the biggest drops in history during the spring of 2020, it broke 30,000 on Nov. 24 and ended the year at a record high of 30,606.48.
The Dow sees the end of a long bull market on Jan. 14, 2000, in part due to the strength of the Internet business and the subsequent bursting of the dot-com bubble. It then falls on March 7, 2000, rebounds to 11,124.83 on April 25, and falls again to 9,973.46 by March 14, 2001, beginning the 2001 recession. It then enters a period of volatility and drops to 8,920.70 after markets open following the September 11, 2001 terrorist attacks. The recession ends in November 2002 after a period of war-related uncertainty. 10This was the Dow’s close at the peak of August 25, 1987 before the Black Monday stock market crash. By Jan. 20, it closed at 15,766.74, as investors panicked over plummeting oil prices, the devaluation of the yuan, and turmoil in China’s stock market.