What is the Dow Jones?
The Dow Jones was invented in 1896 by
Hi, my name is Job and I'm an independent investor in Kansas City, and I'm here today to talk about what is the Dow Jones, for About.com. When someone refers to the Dow Jones, what they are referring to is the Dow Jones Industrial Average. Which is an index of 30 significant stocks traded on the New York Stock exchange and the NASDAQ, such as Microsoft, Disney, General Electric and Exxon Mobile. The Dow Jones Industrial average was created by Charles Dow back in 1896. The Dow Jones is a market average, which is designed to tell you how the stock market and the economy are doing just by looking at the average of how these 30 stocks are doing. If the economy is doing well then the price of these stocks as a whole tend to rise and if the economy is doing poorly then prices as a whole tend to fall. The Dow Jones is used to give the investor a feel for how well the overall market did for that day.Thanks for watching and for more information on stocks and investing be sure to check us out on the web at money.about.com