The longest-running stock market index is over 125 years old.
The Dow Jones Industrial Average (DJIA) was first introduced on May 26, 1896, by Charles Dow and Edward Jones. It initially tracked just 12 industrial companies, including General Electric, and was designed to represent the broader U.S. economy. Over the years, the DJIA evolved and today comprises 30 blue-chip companies, serving as one of the most widely followed benchmarks for the U.S. stock market's performance.
General Electric was part of the index for over 100 years until it was dropped in 2018!
Market Wrap
U.S. stock markets saw modest gains across major indices, driven by a mix of economic and policy factors. The Federal Reserve held its benchmark interest rate steady, as expected, prompting investors to shift their focus to future monetary policy decisions. Economic data showed that the U.S. economy grew steadily in the final months of 2024, fueled by strong consumer spending, which reassured markets about the economy's underlying strength.
Meanwhile, trade policy developments introduced new uncertainties. Discussions regarding potential tariffs, particularly on Canadian imports, along with temporary tariffs on Colombian goods, raised concerns over escalating trade tensions. These factors influenced market sentiment but did not prevent the overall positive performance of U.S. equities for the day.
Tesla's shares increased following announcements about new electric vehicle models and plans for a paid autonomous car service, despite reporting weaker-than-expected profits.
IBM's shares surged 13% after reporting better-than-expected fourth-quarter earnings, driven by strong demand for its artificial intelligence products.
Comcast shares declined due to a larger-than-anticipated drop in broadband subscribers, raising concerns about its growth prospects in the competitive telecommunications market.
United Parcel Service shares plunged 14% after missing revenue projections and announcing plans to reduce its business with Amazon by over 50%, aiming to focus on more profitable ventures.
Las Vegas Sands shares increased by 11% after reporting higher-than-expected revenue, particularly from its Singapore operations, signaling a strong recovery in tourism and gaming.
PulteGroup's stock rose 7% after the homebuilder posted better-than-expected earnings and announced an expansion of its share buyback program, reflecting confidence in future housing demand.
