What is the Dow Jones Industrial Average?

What Is The Dow Jones

The Dow Jones Industrial Average (DJIA), is the top thirty Blue Chip stock whose performance is averaged every day of trading on the stock market. The components of the Dow Jones Industrial Average reads like a who is who in the market.

Currently, the top thirty stocks are doing quite well on the stock market. Thanks to the small number of stocks that make up the DJIA all that it takes it a few of the stocks to take a dive and the average can take a dip. It is nice to research the sectors that make up the components of the Dow Jones Industrial Average.

Direct client contact stocks in DJX Jones Industrial Average :

It shouldn’t be any surprise to most of the people that Wal-Mart Stores Inc is a component of the Dow Jones Industrial Average. During the last 3 years the cost of Wal-Mart had a price adjustment due to various management calls. The $52 to $58 per share days of 2005 has seen a drop to $43 in 2007. This stock is anticipated to reach the $52 range again in the obvious future.

Another solid past performer Home Depot is making an attempt to make a rebound from worries about the home market. Lately, Home Depot has seen some return to the range where it should be trading. It closed latterly in the $38 range and should see some improvements to the mid $40 range.

McDonald’s Company is also on the road to recovery after a slump in 2005. Their sensible diet adjustments have improved the final out look on the stock. It is presently trading at the high $40 range and should easily go higher.

Walt Disney Company is a stock with many hats. It is known for resorts and films, but it has a huge global presence in every type of communications and media outlets. The product is extensive. It has countless media outlets, including but not restricted to ESPN, The History Channel and TV stations. The stock is a value stock currently selling in the range of $33.

Tech stocks in the Dow Jones Industrial Average:

Microsoft Corporation,United Technologies, Hewlett-Packard, Verizon Communications, world Business Machines, ATT and Intel co. Round out the influence of technology influence on the Dow industrial Average.

At that point a stockholder recognizes that if a sector is down for the day this will effect the overall DJX Industrial average.

Huge Multi-National stocks in the Dow Jones Industrial Average:

This category accounts for basic materials, drugs, machinery, cars and giant cap corporations having a major influence on the Dow Jones Industrial Average.

The list of noteworthy stocks are : 3m co, Alcoa, Boeing corp, Caterpillar co, E. I. Du pont de Nemours and Company, Exxon-Mobil corp. General electric Company, General Motors, Honeywell International corp, Johnson & Johnson, Merck & Company, Pfizer Inc, The Coca-Cola Company, and Procter & gamble Company and finally big tobacco, Altria Group Inc.

It is hard to imagine a more stellar group of major players with such influence on the global economy and influence. A mixed bag indeed, but there common thread is there gargantuan influence on the Dow Jones commercial Average. All of the low to medium priced stocks could be purchased individually or in a fund or index fund.

Finance Stocks in the Dow Jones Industrial Average:

This last group has a significant influence in the finance world. It might have some exposure to current angst in the market, but some are well positioned for any rocky road. The most stellar include, American International Group Inc. (AIG), Amex Company, JP Morgan & Chase & Company, and Citigroup Inc.

This groups influence on the final Dow Jones Industrial Average is apparent. Some of the ripple effect of worries about commercial paper and the real estate mortgage market may influence this groups effect. It will depend on whether the concerns should expand to the commercial real estate market and the scale of the defaults and repossessions.

These are the top thirty components that make up the DJX Jones Industrial Average. As you can see the final rise and fall of small %s in this market indicator needs a better look at the elements and sectors.

You maybe interested in reading this too : Dow Jones Futures and Exchange Rates Calculator.