This article is a summary of the closing milestones of the Dow Jones Industrial Average, a United
States stock market index. Since first closing at 62.76 on February 16, 1885, the Dow Jones
Industrial Average has increased steadily, despite several periods of decline.
Milestone highs and lows
Like most other stock market indexes, the Dow undergoes periods of general increase
and general declines or stagnation. A bull market is a term denoting a period of price
increases, while a bear market denotes a period of declines. Wall Street generally considers
a bear market in session when multiple broad market indexes have a downturn of 20% or more
in value. There are two types of bull markets. A secular
bull market is a period in which the stock market index is continually reaching all-time
highs with only brief periods of correction, as during the 1990s, and can last upwards
of 15 years. A cyclical bull market is a period in which the stock market index is reaching
52-week or multi-year highs and may briefly peak at all-time highs before a rapid decline,
as in the early 1970s. It usually occurs within relatively longer bear markets and lasts about
three years. The following are the secular bull and bear
markets experienced by the Dow since its inception: 1885–1890: Bull market. From its first close
of 62.76 on February 16, 1885, the Dow rises steadily for five years, until reaching a
peak of 78.38 on June 4, 1890. This record would stand for nearly 15 years, until the
Dow closed at 79.27 on March 24, 1905. 1890–1896: Bear market. The Dow plunges
over 63% over the next six years, to set an all-time low of 28.48, on August 8, 1896.
1896–1906: Bull market. After setting an all-time low during the summer of 1896, the
Dow quickly erases these losses, and eventually reaches a peak of 103.00 on January 19, 1906.
1906–1915: Bear market. The Dow loses 48.5% of its value over the next 22 months, before
reaching a low of 53 on November 15, 1907. From 1906 to 1915, the Dow remains stuck trading
between 53 and 103. The index reaches a secondary low of 53.17 on December 24, 1914.
1915–1919: Bull market. After hitting a seven-year low in late 1914, the Dow rises
125% over the next five years, reaching a new high of 119.62 on November 3, 1919.
1919–1921: Bear market. The Dow loses 46.6% of its value in just over 21 months, before
reaching a low of 63.90 on August 24, 1921. 1921–1929: Bull market. Over the next eight
years, the Dow increases nearly 500%, and eventually grows to a closing high of 381.17
on September 3, 1929. 1929–1949: Bear market. The stock market
crash of 1929 precedes the Great Depression. The Dow plunges to 41.22 on July 8, 1932,
thus erasing 33 years of gains, in just under three years. Although cyclical bull markets
occur in the 1930s and 1940s, the index takes 22 years to surpass its previous highs.
1949–1966: Bull market. The Dow posts impressive growth in the booming economy following the
Second World War. Starting from 161.60 in June 1949, when P/E ratios reach multi-decade
lows, the index ends just five points below 1,000 on February 9, 1966. The inflation-adjusted
high set on December 31, 1965 would not be surpassed for nearly 30 years, until the Dow's
first close above 4,700 on July 7, 1995. 1966–1982: Bear market. Traders deal with
a stagnant economy in an inflationary monetary environment. The Dow enters two long downturns
in 1970 and 1974; during the latter, it falls nearly 45% to the bottom of a 20-year range.
1982–2000: Bull market. The Dow experiences its most spectacular rise in history. From
a meager 777 on August 12, 1982, the index grows more than 1,500% to close at 11,722.98
by January 14, 2000, without any major reversals except for a brief but severe downturn in
1987, which includes the largest daily percentage loss in Dow history.
2000–2003: Bear market. The index meanders, and then plunges nearly 40%, to a closing
low of 7,286.27 on October 9, 2002. 2003–2007: Bull market. A cyclical bull
closing peak of 14,164.53, reached exactly five years later, does not surpass the inflation-adjusted
high set on December 31, 1999. 2007–2009: Bear market. A renewed bear is
recognized in summer 2008 and multiple volatility records are set that autumn. Another acute
phase in early 2009 brings the index to new 12½ year closing low of 6,547.05, on March
9, 2009, for a total loss of 54% in 17 months. 2009–present: Bull market. The Dow remains
volatile during its ensuing climb, losing almost 20% during the summers of 2010 and
2011, however, by February 1, 2013, the index finally closes above 14,000 for the first
time since October 2007. The Dow continues upward to surpass its prior all-time record
on March 5, 2013 and, by the end of 2013, sets a new all-time inflation-adjusted high
for the first time since the end of 1999. Incremental closing milestones
The following is a list of the milestone closing levels of the Dow Jones Industrial Average.
1This was the Dow's close at the peak on January 19, 1906.2This was the Dow's close at the
peak on November 3, 1919.3This was the Dow's close at the peak of the 1920s bull market
on Tuesday, September 3, 1929. This level would not be seen again until Tuesday, November
23, 1954, a rather lengthy 25 years and 2 1/2 months later.4This was the Dow's close
at the peak on February 9, 1966.5The Dow first exceeded 1,000 during the trading day on Tuesday,
January 18, 1966, but dropped back before closing that day. It would take another six
years and ten months before it finally closed above 1,000 for the first time on Tuesday,
November 14, 1972.6This was the Dow's close at the peak on January 11, 1973.7This was
the Dow's close at the peak of August 25, 1987.8The 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 average closed at 2,999.75 on Monday, July 16, 1990, and closed unchanged the following
day; however, it would take until April 17 of the next year for the Dow to finally close
above 3,000.9The Dow first exceeded 4,000 during the trading day on Monday, January
31, 1994, but dropped back before closing that day. It would take another one year and
less than a month before it finally closed above 4,000 for the first time on Thursday,
February 23, 1995.10This was the Dow's close at the peak on January 14, 2000.11This was
the Dow's close at the peak on October 9, 2007.
Record highs 1Theoretical High calculates the Dow's Level
using the day's high of each of the 30 of the component stocks, regardless of the time
of day when that high occurred. See also
Closing milestones of the Nasdaq Composite Historical record closes of the Dow Jones
Industrial Average List of largest daily changes in the Dow Jones
Industrial Average Milestones of the S&P 500 Index
Market trend Stock market bubble
Stock market crash References
External links Dow Jones Industrial Average Closing Milestones
Century of the Dow MarketWatch: Recent DJIA
Theoretical Dow Jones Index DJIA on Google Finance
DJIA on CNN Money Dow Jones Utilities Average - DJUA
DJIA Download Data