Dow Jones Industrial Average - DJIA

AAA

DEFINITION of 'Dow Jones Industrial Average - DJIA'

The Dow Jones Industrial Average is a price-weighted average of 30 significant stocks traded on the New York Stock Exchange and the Nasdaq. The DJIA was invented by Charles Dow back in 1896.

INVESTOPEDIA EXPLAINS 'Dow Jones Industrial Average - DJIA'

Often referred to as "the Dow," the DJIA is one of the oldest and single most watched index in the world. The DJIA includes companies like General Electric, Disney, Exxon and Microsoft.

When the TV networks say "the market is up today," they are generally referring to the Dow.

VIDEO

RELATED TERMS
  1. Blue-Chip Index

    A stock index that tracks the shares of the top-performing publicly ...
  2. MSCI BRIC Index

    An index measuring the equity market performance of the emerging ...
  3. Dow Jones Utility Average - DJUA

    The Dow Jones Utility Average is a price-weighted average of ...
  4. Theoretical Dow Jones Index

    A method of calculating a Dow Jones index (most often the DJIA) ...
  5. Dow Jones Transportation Average ...

    A price-weighted average of 20 transportation stocks traded in ...
  6. Dow Divisor

    A numerical value computed by Dow Jones Indexes that is used ...
Related Articles
  1. Options & Futures

    Are put options more difficult to trade than call options?

    Learn about the difficulty of trading both call and put options. Explore how put options earn profits with underlying assets fall in value.
  2. Mutual Funds & ETFs

    What are the most common ETFs that track the forest products sector?

    Explore the most common exchange-traded funds that track the forest products sector. Review the performance, expense ratios and holdings of the two top ETFs.
  3. Economics

    Where was the Dow Jones when Obama took office?

    Find out the value of the Dow Jones Industrial Average on the Jan. 20, 2009 inauguration of President Obama and how it has performed since.
  4. Investing Basics

    When did the Dow Jones Industrial Average (DJIA) begin?

    Discover how the Dow Jones Industrial Average, first published in 1896, was created as a way to inform investors of the overall health of the stock market.
  5. Active Trading Fundamentals

    How do you compare the Dow Jones Industrial Average (DJIA) and the Nasdaq?

    The Dow Jones and Nasdaq work in different ways to signal market trends. Learn which is best for you.
  6. Investing

    What is the Dow Jones Industrial Average (DJIA) all-time high?

    Inching ever higher, the Dow Jones recorded new highs in September 2014. Since the index was first calculated in 1896, it has grown by 3.5 percent annually.
  7. Investing Basics

    Why is the Dow Jones Industrial Average (DJIA) price weighted?

    Learn how the Dow Jones Industrial Average has told the story of the broad market through its simple, price-weighted calculation for over 100 years.
  8. Personal Finance

    Who were the original Dow Jones Industrial Average (DJIA) companies?

    Discover how the 12 original companies in the Dow Jones Industrial Average reflected broad market trends and how the present 30 companies continue to follow suit.
  9. Active Trading Fundamentals

    Giants of Finance: Charles Dow

    Find out how this financial visionary helped everyday people enter the world of finance.
  10. Bonds & Fixed Income

    How Now, Dow? What Moves The DJIA?

    Find out how this index tracks market movements and where it falls short.

You May Also Like

Hot Definitions
  1. Command Economy

    A system where the government, rather than the free market, determines what goods should be produced, how much should be ...
  2. Prospectus

    A formal legal document, which is required by and filed with the Securities and Exchange Commission, that provides details ...
  3. Treasury Bond - T-Bond

    A marketable, fixed-interest U.S. government debt security with a maturity of more than 10 years. Treasury bonds make interest ...
  4. Weight Of Ice, Snow Or Sleet Insurance

    Financial protection against damage caused to property by winter weather specifically, damage caused if a roof caves in because ...
  5. Weather Insurance

    A type of protection against a financial loss that may be incurred because of rain, snow, storms, wind, fog, undesirable ...
  6. Portfolio Turnover

    A measure of how frequently assets within a fund are bought and sold by the managers. Portfolio turnover is calculated by ...
Trading Center