Dow Jones Average History Chart: A Visual Journey of 130 Years

1896: The Dawn of an Icon

On May 26, 1896, Charles Dow, editor of The Wall Street Journal, introduced the Dow Jones Industrial Average (DJIA), a simple index that tracked the performance of 12 major companies listed on the New York Stock Exchange (NYSE). The companies included American Cotton Oil, American Sugar, American Tobacco, Chicago Gas, Distilling & Cattle Feeding, General Electric, Laclede Gas Light, National Lead, North American, Tennessee Coal, Iron & Railroad, and U.S. Rubber.

The initial value of the DJIA was 40.94.

1914: World War I and the Roaring Twenties

In July 1914, the outbreak of World War I caused a steep decline in the DJIA, which fell to a low of 59.69. However, the index quickly rebounded after the United States entered the war and rallied throughout the Roaring Twenties, reaching a record high of 381.17 in 1928.

1929: The Great Crash and the Depression

The stock market crash of 1929 had a devastating impact on the DJIA, which plunged by 54% in a single month. The index continued to decline throughout the Great Depression, reaching a low of 41.22 in 1932.

1942: World War II and the Post-War Boom

With the United States' entry into World War II, the DJIA initially declined, but it rebounded strongly in the post-war period. In 1949, the index surpassed its pre-war high and continued to rise throughout the 1950s and 1960s, reaching a record high of 932.97 in 1966.

1973: The Oil Crisis and Inflation

The oil crisis of 1973 led to a sharp decline in the DJIA, which fell by 17% in a single year. The index continued to fluctuate throughout the 1970s and 1980s, as high inflation and interest rates dampened economic growth.

1989: The Bull Market of the 1990s

The 1990s witnessed a prolonged bull market that saw the DJIA rise by over 300%. In 1999, the index surpassed the 10,000 mark for the first time, reaching a record high of 11,722.98.

2008: The Global Financial Crisis

The subprime mortgage crisis that began in 2008 led to a severe global financial crisis, which had a profound impact on the stock market. The DJIA plunged by 54% in a matter of months, hitting a low of 6,547.05 in March 2009.

2017: The Trump Rally

Following the election of President Donald Trump in November 2016, the DJIA entered a bull market that lasted for over a year. In January 2018, the index surpassed the 26,000 mark for the first time, reaching a record high of 26,616.71.

2020: The COVID-19 Pandemic

The COVID-19 pandemic that began in early 2020 led to a sharp decline in the stock market, as investors feared the economic impact of the virus. The DJIA fell by 35% in a matter of weeks, reaching a low of 18,591.91 in March 2020. However, the index quickly rebounded and reached new record highs in 2021 and 2022.

Key Events and Milestones in the History of the Dow Jones Industrial Average

The Dow Jones Industrial Average Today

The Dow Jones Industrial Average is one of the most widely followed stock market indices in the world. It is composed of 30 large, blue-chip companies that are traded on the NYSE or Nasdaq. The index is calculated by taking the sum of the share prices of the component companies and dividing by a divisor that is adjusted to account for stock splits and other corporate actions.

The DJIA is a widely used indicator of the overall health of the U.S. stock market. It is also used as a benchmark for many investment