History of Dow Jones Industrial Average in Timeline
The Dow Jones Industrial Average (DJIA), often called the Dow Jones or simply the Dow, is a major U.S. stock market index. It tracks the performance of 30 large, publicly-owned companies listed on American stock exchanges, reflecting trends in the overall U.S. stock market.
1901: Panic of 1901 Impacts Dow Jones Industrial Average
The Panic of 1901, a financial crisis, had a significant impact on the Dow Jones Industrial Average, contributing to its stagnant performance.
1906: Dow Jones Industrial Average Breaks 100 for First Time
In 1906, the Dow Jones Industrial Average reached a milestone by surpassing 100 for the first time, despite the negative economic impact of the San Francisco earthquake.
1907: Panic of 1907 Impacts Dow Jones Industrial Average
The Panic of 1907, another financial crisis, further hampered the Dow Jones Industrial Average's growth, keeping it range-bound.
1910: Panic of 1910-1911 Impacts Dow Jones Industrial Average
The Panic of 1910-1911 marked the beginning of a period of stifled economic growth, impacting the Dow Jones Industrial Average's performance at the start of the 1910s.
1911: Panic of 1910-1911 Impacts Dow Jones Industrial Average
The Panic of 1910-1911, a financial crisis spanning two years, significantly hampered the growth of the Dow Jones Industrial Average during the early 1910s.
July 30, 1914: New York Stock Exchange Closes Due to World War I
On July 30, 1914, with the Dow Jones Industrial Average at 71.42, the New York Stock Exchange closed and suspended trading for four and a half months due to concerns over the outbreak of World War I and its potential impact on financial markets.
December 12, 1914: New York Stock Exchange Reopens After World War I Suspension
On December 12, 1914, after a four-and-a-half-month closure due to World War I, the New York Stock Exchange reopened, with the Dow Jones Industrial Average closing at 74.56, a gain of 4.4% from its closing value before the suspension.
1914: Dow Jones Industrial Average Range-Bound Until Late 1914
The Dow Jones Industrial Average remained stuck in a range between 53 and 103 until late 1914, influenced by economic downturns and geopolitical events.
1919: Dow Jones Industrial Average Shows Marginal Growth After World War I
Following World War I and the subsequent economic downturn known as the Post-World War I recession, the Dow Jones Industrial Average showed minimal growth, rising only 8.26% from its value at the beginning of the 1910s to reach 107.23 by the end of 1919.
1920: Dow Jones Industrial Average Begins Long Bull Run
The Dow Jones Industrial Average embarked on a multi-year bull run in 1920, rising from 73 points to reach 381 points by 1929, despite economic and geopolitical challenges.
1928: Dow Jones Industrial Average Expands to 30 Stocks
In 1928, during the economic boom of the Roaring Twenties, the Dow Jones Industrial Average expanded its components to include 30 stocks, marking a significant change in its composition.
September 3, 1929: Dow Jones Industrial Average Reaches Peak Before 1929 Crash
On September 3, 1929, the Dow Jones Industrial Average reached its peak at 381.17, marking the end of a long bull run that began in 1920. This peak was not surpassed in inflation-adjusted terms until 1954.
November 13, 1929: Wall Street Crash of 1929 Impacts Dow Jones Industrial Average
On November 13, 1929, just two months after its peak, the Dow Jones Industrial Average experienced a significant drop as part of the Wall Street Crash of 1929, reaching an intraday low of 195.35 before closing slightly higher at 198.69.
1930: Dow Jones Industrial Average Begins Decade with Losses
The Dow Jones Industrial Average commenced the decade of the 1930s at 248.48, but faced significant losses throughout the period due to the Great Depression and various global conflicts.
July 8, 1932: Dow Jones Industrial Average Reaches Low Point During Great Depression
On July 8, 1932, amidst the Great Depression, the Dow Jones Industrial Average plummeted to its lowest point, closing at 41.22, signifying a near 90% drop from its peak in September 1929.
March 15, 1933: Dow Jones Industrial Average Experiences Largest One-Day Percentage Gain
On March 15, 1933, amidst the bear market of the Great Depression, the Dow Jones Industrial Average recorded its largest ever one-day percentage gain of 15.34%, closing at 62.10.
1935: Second Italo-Abyssinian War Impacts Dow Jones Industrial Average
The Dow Jones Industrial Average's performance during the 1930s was also influenced by international conflicts such as the Second Italo-Abyssinian War, which began in 1935, contributing to the overall economic uncertainty of the period.
1936: Spanish Civil War Impacts Dow Jones Industrial Average
The outbreak of the Spanish Civil War in 1936 added to the global instability of the decade, further impacting the performance of the Dow Jones Industrial Average.
1937: Recession of 1937-1938 Impacts Dow Jones Industrial Average
The Recession of 1937-1938, occurring in the United States, brought a temporary halt to the economic recovery that was underway, impacting the performance of the Dow Jones Industrial Average.
1938: Recession of 1937-1938 Impacts Dow Jones Industrial Average
The Recession of 1937-1938, which extended into 1938, presented a significant challenge to the recovering economy and further hampered the performance of the Dow Jones Industrial Average during the 1930s.
1939: Dow Jones Industrial Average Shows Losses Amidst Global Instability
By the end of 1939, as World War II began, the Dow Jones Industrial Average had fallen to 150.24 from its starting point of 248.48 in 1930, reflecting a tumultuous decade marked by global instability and the Great Depression.
1949: Dow Jones Industrial Average Surges Despite Recession of 1949
Despite facing the Recession of 1949, the Dow Jones Industrial Average experienced a significant surge during the 1940s, rising from 150.24 to 200.13, a 33% increase attributed to post-war reconstruction efforts and renewed optimism for peace and prosperity.
1954: Dow Jones Industrial Average Surpasses 1929 Peak in Inflation-Adjusted Terms
It was not until 1954 that the Dow Jones Industrial Average finally surpassed its previous peak of 381.17, reached on September 3, 1929, when accounting for inflation.
1962: Kennedy Slide of 1962 Impacts Dow Jones Industrial Average
The Kennedy Slide of 1962 had a noticeable impact on the Dow Jones Industrial Average, causing a period of stagnation in the market. Despite this, the index still managed to gain a respectable 18% during the 1960s, rising from 679.36 to 800.36.
November 4, 1972: Dow Jones Industrial Average Reaches Peak Before 1973-1974 Crash
The Dow Jones Industrial Average reached its peak before the 1973-1974 stock market crash on November 4, 1972, closing at 1,003.16. This marked a significant point in the market before the subsequent downturn.
November 14, 1972: Dow Jones Industrial Average Closes Above 1,000 for First Time
On November 14, 1972, the Dow Jones Industrial Average achieved a milestone by closing above the 1,000 mark for the first time, reaching 1,003.16 during a brief relief rally amidst a prolonged bear market.
January 1973: 1973-1974 Stock Market Crash Begins
The Dow Jones Industrial Average experienced a significant downturn beginning in January 1973 as part of the 1973-1974 stock market crash, resulting in a substantial loss of value for the index.
December 6, 1974: 1973-1974 Stock Market Crash Impacts Dow Jones Industrial Average
On December 6, 1974, the Dow Jones Industrial Average closed at 577.60, marking a significant drop from its peak in 1972 due to the 1973-1974 stock market crash, which saw the index lose 48% of its value.
December 1974: 1973-1974 Stock Market Crash Concludes
The Dow Jones Industrial Average's decline during the 1973-1974 stock market crash continued until December 1974, marking the end of a turbulent period for the index and the broader market.
1976: Dow Jones Industrial Average Recovers to 1,000 Points
In 1976, the Dow Jones Industrial Average recovered from its previous losses and reached the 1,000 point mark several times, indicating a period of recovery for the market. The year ended with the index closing at 1,004.75.
1979: Iranian Revolution Creates Market Uncertainty
The Iranian Revolution in 1979 introduced new geopolitical tensions, particularly between the United States and Iran, contributing to market uncertainty and impacting the Dow Jones Industrial Average.
1981: Dow Jones Industrial Average Retests 1,000 Points
In early 1981, the Dow Jones Industrial Average briefly surpassed the 1,000 point mark several times but ultimately retreated, highlighting market volatility during this period.
1981: Dow Jones Industrial Average Experiences Negative Performance
The Dow Jones Industrial Average faced a challenging year in 1981, ending the year with a negative performance as market conditions deteriorated.
1984: Dow Jones Industrial Average Records Negative Performance
The year 1984 proved to be another difficult one for the Dow Jones Industrial Average, as it recorded a negative performance amidst a challenging economic environment.
January 1987: Dow Jones Industrial Average Surpasses 2,000 Points
In January 1987, the Dow Jones Industrial Average achieved a significant milestone by closing above 2,000 points for the first time, reflecting strong market performance.
October 19, 1987: Black Monday Stock Market Crash
On October 19, 1987, the Dow Jones Industrial Average experienced a historic crash known as "Black Monday," plunging by 22.61%, the largest one-day percentage drop in its history. The exact causes of the crash remain unclear.
1987: Dow's Worst Quarter Since 1987
The first quarter of 2020 saw the Dow Jones Industrial Average experience its worst quarterly performance since 1987, with a 23% decline due to the COVID-19 pandemic.
October 13, 1989: Friday the 13th Mini-Crash
On October 13, 1989, the stock market experienced a sudden drop, dubbed the "Friday the 13th mini-crash." This event, triggered by the collapse of the junk bond market, resulted in the Dow Jones Industrial Average losing nearly 7% of its value in a single day.
1989: Revolutions and the Fall of the Berlin Wall
The year 1989 marked a pivotal moment in history with the Revolutions of 1989, including the fall of the Berlin Wall, signifying the end of the Cold War.
January 1990: Dow Jones Begins its Ascent
The Dow Jones began a significant upward trend starting in January 1990, marking the beginning of a bull market.
1990: 1990s Begin with Technological Advances and Economic Challenges
The 1990s began with rapid technological advancements and the rise of the dot-com era. However, the markets faced challenges such as the 1990 oil price shock and the early 1990s recession.
1991: Dow Jones Industrial Average Component Changes Documentation
Changes to the components of the Dow Jones Industrial Average have been documented since 1991.
1991: Geopolitical Events and the Information Age
In 1991, global events included the Soviet coup d'état attempt and the start of the Yugoslav Wars. Despite these events, economic enthusiasm continued to grow due to the Information Age.
1992: Dow Jones Navigates the 3,000 Level and Biotech Bubble
The Dow Jones Industrial Average hovered around the 3,000 level in 1992, experiencing modest gains as the biotechnology sector faced a bubble burst.
1993: Biotech Bubble Impacts Markets
The Dow Jones continued to experience the effects of the Biotech Bubble in 1993, with many biotech companies' stock prices plummeting.
April 1997: Dow Falls to April 1997 Levels
The Dow Jones Industrial Average fell to its lowest point since April 1997 on March 9, 2009, highlighting the severity of the financial crisis.
July 1997: Dow Jones Reaches 8,000
By July 1997, the Dow Jones Industrial Average reached the 8,000 milestone, reflecting a period of economic growth and market optimism.
October 1997: Asian Financial Crisis Impacts Dow Jones
The 1997 Asian financial crisis led to a downturn in the Dow Jones during October 1997, contributing to market volatility.
October 27, 1997: October 27, 1997 Mini-Crash
On October 27, 1997, the Dow Jones experienced a significant drop of 554 points, marking a 7.18% decline, largely attributed to the 1997 Asian financial crisis. This event became known as the "October 27, 1997 mini-crash."
1998: Dow Climbs Despite Russian Financial Crisis
Despite the negative impact of the 1998 Russian financial crisis and the collapse of Long-Term Capital Management, the Dow Jones Industrial Average continued to rise, surpassing the 9,000 mark.
March 29, 1999: Dow Closes Above 10,000 for the First Time
On March 29, 1999, the Dow Jones Industrial Average closed above 10,000 for the first time in history, marking a significant milestone for the market. The closing value was 10,006.78.
2000: Dot-Com Bubble Impacts Markets
The Dow Jones Industrial Average experienced a decline in 2000 due to the fallout from the dot-com bubble burst, which began in 2000 and impacted markets through 2002.
September 17, 2001: Dow Falls After September 11 Attacks
The Dow Jones Industrial Average dropped by 7.1% on September 17, 2001, the first day of trading after the September 11 attacks.
September 24, 2002: Dow Hits Four-Year Low
The Dow Jones Industrial Average fell to a four-year low of 7286 on September 24, 2002, influenced by the stock market downturn of 2002 and the lingering effects of the dot-com bubble.
2003: Dow Jones Recovers to 10,000
Throughout 2003, the Dow Jones remained within the 7,000 to 9,000 point range before recovering to the 10,000 mark by the end of the year.
October 11, 2007: Dow Reaches Record High
On October 11, 2007, the Dow Jones Industrial Average set a record high of 14,198.10, a level that wouldn't be surpassed until March 2013.
2007: Financial Crisis Begins
The 2007-2008 financial crisis began, leading to significant market volatility.
2007: Dow's Previous High
The Dow Jones Industrial Average reached a record high in 2007, a level that wouldn't be surpassed until 2013.
September 15, 2008: Lehman Brothers Bankruptcy and Financial Crisis
The financial crisis worsened on September 15, 2008, marked by the bankruptcy filing of Lehman Brothers. This event, coupled with record-high oil prices, resulted in a significant drop in the Dow Jones.
October 2008: AIG Stock Collapse Impacts DJIA
In October 2008, AIG's stock price dramatically decreased from $22.76 on September 8 to $1.35 on October 27, contributing to a significant drop in the DJIA.
October 2008: Market Volatility During Financial Crisis
The Dow Jones Industrial Average experienced significant volatility in October 2008 during the financial crisis, with large daily point losses and gains.
2008: Financial Crisis Impacts Dow Jones
The Dow Jones Industrial Average experienced a decline in 2008 due to the global financial crisis.
2008: Financial Crisis Continues
The financial crisis that began in 2007 continued into 2008, further impacting global markets.
March 9, 2009: Dow Closes at 12-Year Low
On March 9, 2009, the Dow Jones Industrial Average closed at 6,547.05, marking a new 12-year low due to the ongoing financial crisis.
2009: Dow Jones Recovers Amid Optimism
During the second half of 2009, the Dow Jones Industrial Average rallied, approaching the 10,000 level, fueled by signs that the economic recession was easing.
2009: Dubai World Debt Standstill
The Dubai World 2009 debt standstill contributed to global economic uncertainty.
May 6, 2010: 2010 Flash Crash
The Dow Jones Industrial Average experienced a significant intra-day drop of 9.2% on May 6, 2010, known as the "2010 Flash Crash." The market recovered most of the losses within an hour, but the event led to new regulations to prevent similar incidents.
2010: Dow Jones Rallies Amid Global Concerns
The Dow Jones Industrial Average experienced a rally during the first half of the 2010s, supported by the Federal Reserve's loose monetary policy. This occurred despite global concerns such as the European sovereign debt crisis.
2011: United States Debt-Ceiling Crisis
The United States faced a debt-ceiling crisis in 2011, adding to market volatility.
March 5, 2013: Dow Reaches New Record High
Six years after its previous high in 2007, the Dow Jones Industrial Average closed at a new record high on March 5, 2013, signaling a period of market recovery and growth.
March 2013: Dow Surpasses 2007 High
The Dow Jones Industrial Average reached a new record high in March 2013, surpassing its previous peak from October 2007.
2015: Stock Market Selloff
The Dow Jones Industrial Average experienced a selloff in the second half of 2015, leading to increased market volatility.
November 9, 2016: Dow Surges After Trump's Election Victory
Following Donald Trump's victory in the 2016 US presidential election, the Dow Jones Industrial Average experienced a surge on November 9, 2016, coming close to its all-time intraday high.
2016: Dow Recovers and Climbs
Following the 2015-2016 stock market selloff, the Dow Jones Industrial Average recovered in early 2016 and continued to climb.
January 4, 2018: Dow Surpasses 25,000 Points
On January 4, 2018, the Dow Jones Industrial Average surpassed the 25,000-point mark, reflecting a strong bull market.
2018: General Electric Removed from DJIA
In 2018, General Electric, the company with the longest continuous presence on the Dow Jones Industrial Average since its inception in 1896, was removed from the index.
2018: Market Volatility Returns
The Dow Jones Industrial Average experienced a period of volatility in 2018, dropping by nearly 20%.
January 2019: Dow Recovers From Volatility
In January 2019, the Dow Jones Industrial Average rallied by more than 10% from its Christmas Eve low, recovering from a period of volatility in 2018.
February 12, 2020: Dow Reaches New Peak Before COVID-19 Downturn
The Dow Jones Industrial Average continued its upward trend from the previous decade, reaching a peak of 29,551.42 on February 12, 2020, before experiencing a downturn due to the emerging COVID-19 pandemic.
October 12, 2020: Dow Recovers to 28,837.52
The Dow Jones Industrial Average recovered to 28,837.52 on October 12, 2020, following a sharp decline earlier in the year due to the COVID-19 pandemic.
November 9, 2020: Dow Reaches New All-Time High
The Dow Jones Industrial Average reached a new all-time high of 29,675.25 on November 9, 2020, driven by positive news about the Pfizer-BioNTech COVID-19 vaccine in Phase III clinical trials.
December 31, 2020: Dow Closes Above 30,000
The Dow Jones Industrial Average closed above 30,000 for the first time on December 31, 2020, reaching a record close of 30,606.48.
June 2021: Influence of Stock Prices on DJIA
As of June 2021, higher-priced stocks like Goldman Sachs and UnitedHealth Group held more influence on the DJIA, while lower-priced stocks like Cisco Systems and Coca-Cola had less impact.
January 22, 2024: Dow Crosses 38,000 Points
On January 22, 2024, the Dow Jones Industrial Average crossed the 38,000-point mark for the first time, continuing its upward trend.
February 26, 2024: Dow Jones Industrial Average Composition Update
On February 26, 2024, the Dow Jones Industrial Average underwent a composition update, with changes to the companies included in the index and their respective weightings.
April 2024: Dow Jones Industrial Average Calculation Update
As of April 2024, the Dow Jones Industrial Average was calculated by summing the stock prices of its constituent companies and dividing by a factor, which was approximately 0.152. This factor was subject to change in case of stock splits to ensure the index value remained unaffected.
December 2099: Warren Buffett's Prediction for the Dow Jones
Investor Warren Buffett predicted that the Dow Jones would need to reach around 2,000,000 by December 2099 to repeat its 20th-century average annual return of 5.3%.
