By: Tom Gentile
on May 26th, 2021
Happy 125th birthday, Dow Jones Industrial Average!
Here is a list of the original Dow Jones Industrial Average companies which started in 1896, (none of which are in the Dow – or exist – any more).
American Cotton Oil, American Sugar, American Tobacco, Chicago Gas, Distilling & Cattle Feeding, General Electric, Laclede Gas, National Lead, North American, Tennessee Coal & Iron, U.S. Leather preferred, and U.S. Rubber
This index doesn’t seem to have the relevance it used to. There is a good portion of tech stocks that comprise the Dow now and it isn’t looked at as an index that speaks to the true state of the economy as something like the S&P 500 does.
The question is will the Dow be ‘retired’ or eliminated. Many investment managers would be ok with that.
As long as the Dow Jones Industrial Average exists I will include it in my 4 Corners portion of this newsletter. If it ever gets retired or eliminated it will no longer be included.
C1P Chief 1-Percenter