The Dow set two milestones in 2014 and set 39 closing records. Share repurchases among the S&P 500 companies were 59% higher in the first quarter of 2014 than the first quarter in 2013. It was the largest amount since 2007, right before the stock market crashed. The Sept. 29, 2008 stock market crash is among the most dramatic economic events of U.S. history to date. Although the market’s 50% drop is less than the Great Depression’s 90% drop, it takes only 17 months to reach that low, compared to a period of four years in the 1930s. The Dow falls 13% in October 2008 and hits a new low for the year of 7,552.29 in November 2008.

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The records set in the fall were the first ones since the Dow reached 26,616.71 on Jan. 26, 2018. After hitting the Jan. 26 peak, the Dow went into free fall, dropping 4% the next week. On Feb. 8, it entered a market correction when it fell 1,032.89 points to 23,860.46.

What Is the Dow Jones Industrial Average (DJIA)?

It reaches its lowest point of 6,594.44 on March 5, 2009 during a bear market. In recent years, investors have become accustomed to record highs for the Dow, but there have also been a few pronounced drops. That said, we’ve never seen a fall as dramatic as the stock market crash of 1929, after which the Dow lost nearly 90% of its value over the course of three years. The Dow Jones hitting 45,631.74 in August 2025 shows how strong U.S. markets remain, with tech earnings, lower inflation, and Fed policy fueling record highs. For long-term investors, these milestones are reminders to stay disciplined.

When Trump began the transition process late in November, 2020, stocks roared back. Many records were set in 2019, thanks partly to trade talks with China that boosted firms in the index. While this valuation premium is indicative of the optimism and excitement for AI, quantum computing, earnings growth, and ongoing rate cuts by the central bank, it’s also a historical signal that trouble is brewing. As the S&P 500, Dow Jones Industrial Average, and Nasdaq Composite have continued their seemingly uninterrupted march higher over the last six months and change, so have stock valuations. Even so, the gains posted by Ambrx Biopharma (AMAM) in Friday’s session are unusual and particularly eye-catching.

The one before that came on the final trading day of 2021, when Dow closed at 36,488.63 on Dec. 29, 2021, smashing the record it set on Nov. 8, 2021. The Dow witnessed a sharp decline in the end of November over fears of inflation and the COVID-19 pandemic, before resuming its quest to break more all-time high milestones. Record highs are driven by a mix of economic growth, lower inflation, strong corporate earnings, and investor confidence. Fed policy plays a major role, lower interest rates often push the Dow higher.

Top 10 Highest Dow Jones Closing Values in History

The Dow tracks 30 large, publicly owned blue-chip companies trading on the New York Stock Exchange and the Nasdaq. The selection is not based on strict quantitative criteria but rather on the decisions of the editors of the Wall Street Journal. Companies are chosen based on their reputation, growth, and relevance to the economy, with the aim of reflecting the overall health and trends of the industrial sector of the U.S. economy. Uncertainty had been hanging over the markets because of the unprecedented refusal of the outgoing president, Donald Trump, to concede the election to President-elect Biden.

Titan’s investment advisory services are available only to residents of the United States in jurisdictions where Titan is registered. Nothing on this website should be considered an offer, solicitation of an offer, or advice to buy or sell securities or investment products. Any historical returns, expected returns, or probability projections are hypothetical in nature and may not reflect actual future performance. Account holdings and other information provided are for illustrative purposes only and are not to be considered investment recommendations.

Economic & Market Factors Behind the 2024–2025 Dow Highs

  • It reaches its lowest point of 6,594.44 on March 5, 2009 during a bear market.
  • In the autumn, it began to consistently close above 35,000 points, and by the last week in December 2021, it surpassed 36,000 points.
  • The Dow had two streaks lasting more than 10 days, which had not occurred since 1959.
  • Most investors turn to the traditional price-to-earnings (P/E) ratio as the foundation for evaluating a stock.

Investors worried that China’s yuan devaluation and the uncertainty over the Fed’s rate increase would push the index further downward. The index had three nine-day runs, last occurring in 1955 (when there were four nine-day stretches). The Dow continuously moved higher eight months in a row (the last occurrence of this was in 1995). In 2019, the Dow hit two milestones and set 22 record closes. On July 3, the Dow hit a new high when the Trump administration announced it would resume trade negotiations with China, averting additional tariffs (taxes on imports). All these events created a lot of uncertainty for investors and the Dow bore the brunt of it, falling into a bear market in September 2022.

As such, point moves are a way to measure the relative change in the index’s value. That said, when comparing the value of the DJIA over time, many financial sites, as we have done above, use an inflation-adjustment calculator such as the U.S. Bureau of Labor’s CPI since this gives the relative change over time.

Has the Dow ever closed above 45,000?

The highest Dow Jones Industrial Average close is 45,631.74, set on August 22, 2025. This surpassed the previous record of 45,014.04 from December 2024. The Dow’s all-time high reflects strong tech earnings, cooling inflation, and expectations of future Fed rate cuts. The Dow hit record highs in 2024–2025 thanks to a perfect storm of strong earnings, lower inflation, and huge gains from mega-cap tech stocks.

Stocks with higher prices (like UnitedHealth or Goldman Sachs) have more impact on the index than lower-priced stocks, even if they’re smaller companies. The Dow Jones is a price-weighted index—this means the 30 companies with the highest stock prices move the Dow the most, not the biggest by market cap. The Dow Jones always bounces back—even after historic crashes. Every bear market in U.S. history has been followed by a new record high. While you can’t directly buy shares in the market index, you can invest in the DJIA through index funds and exchange-traded funds (ETFs) such as the SPDR Dow Jones Industrial Average ETF Trust (DIA). These funds track the DJIA through a similar composition and weighting of stocks.

While there are always pullbacks, the Dow has set new records after every major correction for over 100 years. See the top 10 highest closing values in Dow Jones history, including the record-breaking 45,014.04 set on December 4, 2024. A record high doesn’t mean “buy now” or “panic sell”—it’s just one milestone in the market’s long journey. Since the Great Depression, 2007 to 2008 has been the most dramatic period for the DJIA.

A Brief History of the Dow

The market fell more than 50% in just a year and a half because of subprime mortgage and credit crisis that kicked off the Great Recession. Sean Williams has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned.

A November streak occurred after Donald Trump’s presidential win on Nov. 8. Traders were confident in a business-friendly Republican president. The index closed above 23,000 on Oct. 18, 2017; slightly more than a month later, it broke 24,000. The Dow had two streaks lasting more than 10 days, which had not occurred since 1959. This high occurred only 42 trading sessions after closing above 19,000.

The Dow Jones Industrial Average (DJIA) hit warren buffett biography its record high on May 16, 2024, reaching 40,051.05 points during intraday trading. The Dow’s all-time high at market close stands at 39,908.00, reached on May 15, 2024. Please refer to Titan’s Program Brochure for important additional information. Before investing, you should consider your investment objectives and any fees charged by Titan. The rate of return on investments can vary widely over time, especially for long term investments.

  • Despite all time highs early in the year, six of the 20 worst-one day point losses for the Dow occurred in 2022.
  • For active traders, record-breaking markets are full of opportunity.
  • The Dow climbed above 38,000 in January 2024 and reached 40,000 by May.
  • This content is provided for informational purposes only, and should not be relied upon as legal, business, investment, or tax advice.
  • This beat the previous high of 45,014.04 from December 2024.

With inflation cooling and the Fed signaling possible rate cuts, analysts expect more record-setting moves through late 2025. The highest-ever multiple for the S&P 500’s Shiller P/E (44.19) occurred in December 1999, just a few months before the dot-com bubble burst. The stock market is now within sight of this all-time high. Most investors turn to the traditional price-to-earnings (P/E) ratio as the foundation for evaluating a stock. A company’s P/E ratio is arrived at by dividing its share price into its trailing-12-month earnings per share (EPS), with a lower reading usually indicative of a better value.

Confidence that a recession could be averted continued into 2024. The Dow climbed above 38,000 in January 2024 and reached 40,000 by May. The index peaked again in July, almost reaching 42,000, then rallied in September when the Fed started cutting interest rates for the first time since 2020. The following are some milestones achieved by the Dow Jones Industrial Average. In parentheses, when helpful, we provide the Dow’s points as inflation-adjusted to Feb. 23, 2024, for a relative comparison to its record highs. The Dow Jones Industrial Average, also known as the Dow or DJIA, tracks 30 large, well-known companies that trade on the New York Stock Exchange and Nasdaq.