Trump in, DOW hits record highs
Just after the inauguration of President Donald Trump, a recent rally in stocks has sent the blue chip index (DOW Jones) above 20,000 for the first time. The benchmark S&P 500 and tech-focused Nasdaq were also trading at new records on Wednesday.
After the election of Donald Trump, the stock market enjoyed a sharp rally to new record highs as investors took Trump’s plans to cut taxes and increase infrastructure spending as positives for the US economy. Trump has also continued his campaign theme of being antagonistic towards US trading partners since his election win, though markets have, to this point, seemed to largely discount any risk of a full-on trade war breaking out.
ABOUT DOW JONES
Dow Jones is a stock market index, and one of several indices created by Wall Street Journal editor and Dow Jones & Company co-founder Charles Dow. The industrial average was first calculated on May 26, 1896. Currently owned by S&P Dow Jones Indices, which is majority owned by S&P Global, it is the most notable of the Dow Averages, of which the first (non-industrial) was first published on February 16, 1885. The averages are named after Dow and one of his business associates, statistician Edward Jones. It is an index that shows how 30 large publicly owned companies based in the United States have traded during a standard trading session in the stock market. It is the second-oldest U.S. market index after the Dow Jones Transportation Average, which was also created by Dow. The Industrial portion of the name is largely historical, as many of the modern 30 components have little or nothing to do with traditional heavy industry. The average is price-weighted, and to compensate for the effects of stock splits and other adjustments, it is currently a scaled average.