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Dow Jones Industrial AverageDow Jones Industrial Average is a price-weighted average of 30 of the largest companies in the US. |
Dow Jones The Dow Jones is price-weighted index, and to account for the effects of stock splits and other alterations, it is using a scaled average. The value of the Dow index is calculated by dividing the sum of the constituent prices by the divisor, which in turn changes each time one of the stocks has a stock split or dividend pay out. Thus, even when a company splits its stock, it doesn’t affect the Dow Jones Industrial Average. |
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