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Investors lose confidence in it. It's like this: simply put, if you think the market, and your stocks in particular, are about to lose value, you sell them to avoid losing money. if enough people do this, then supply/demand theory takes over and you have more of one stock being sold than people wanting to buy it. therefore, the price of the stock goes down. Since the Dow Jones is an index of a bunch of major industrial stocks, if enough of these stocks see a fall in price, the overall value of the stocks being traded goes down, therefore you see a drop in the Dow Jones.
Wiki User
∙ 15y ago
Wiki User
∙ 15y agoDow-Jones is just a list of stocks.
Stock prices drop when someone tries to sell some and he has to lower his price to get someone else to buy.
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What causes the Dow Jones drop?
Dow-Jones is just a list of stocks. Stock prices drop when someone tries to sell some and he has to lower his price to get someone else to buy.
What is the largest Dow drop ever?
The Dow Jones Industrials Average crashed 777.68 points on September 29, 2008, the largest drop ever. The average lost 6.98% of its value that day.
What is the full form of Dow Jones?
Dow Jones is less commonly known as Dow Jones Industrial Common. Dow Jones is a stock market index, created by Charles Henry Dow.
Where do you find the Dow Jones Industrial Average for any date in the past?
Visit the Dow Jones Indexes website. http://www.djindexes.com/ Home > Dow Jones Averages (on drop down) > Index Data > Specify your data range (i.e. Feb 1, 1980 - Mar 1, 1980), be sure to put Frequency to Daily, and 'Get Report'. You will have the Dow Jones Industrial Average for your date.
Who is the Jones in the Dow Jones?
The Dow Jones Industrial Average was created on May 26, 1896 and is named after Charles Dow and Edward Jones.
Are the letters in Dow of Dow Jones mean a name?
Charles Dow was the co founder of Dow Jones News.
By how many points did the Dow Jones Industrial Average drop during Black Monday?
The Dow jones Industrial Average usually drops by 38 points during Black Monday. This example can be seen in the Wall Street Crash of 1929 where figures drop by nearly 13%.
What has the Dow Jones index been like the past week?
The Dow Jones index has been fluctuating this past week. In the past 2 days alone, the Dow has dropped significantly, over 400 points each day. This morning it also began with a drop.
How did the Dow Jones get its name?
Dow Jones: in 1882 three men - Charles Dow, Edward Davis Jones and Charles Bergstresser - formed a business in New York. Dow Jones comes from the combination of Charles Dow's and Edward Jones's last names.
Who started the Dow Jones?
In 1882, Dow Jones was founded by three reporters: Charles Dow, Edward Jones and Charles Bergstresser.
What does the abbreviation Dow Jones mean?
I don't think Dow Jones has an abbreviation, however, Dow Jones Industrial Average is DJI or DJIA. Global Dow Jones Industrial Average is INDEXDJX:.DJI.
Who started the Dow Jones company?
In 1882, Dow Jones was founded by three reporters: Charles Dow, Edward Jones and Charles Bergstresser.
