Dow Highest Closing Records
Compare to Dow Jones Closing History: Top Highs, Lows Since 1929
The Dow Jones Industrial Average's highest closing record is 26,616.71 set on January 26, 2018. After hitting that peak, it immediately went into free fall. The index fell 4 percent by the end of the following week. It recovered briefly, then fell 1,032.89 points on 8, to 23,860.46. The index had fallen 10.4 percent, putting it into a long-overdue market correction. Investors were wary of higher interest rates and afraid of inflation.
It then rebounded the following week.
Before the fall, the Dow has set 96 new record closing highs since the 2016 presidential election. Investors were confident in Donald Trump's promises to pass business-friendly legislation and other job-boosting measures. They liked that Trump was weakening Obamacare. They cheered Trump's tax reform plan.Global growth and a weaker dollar were boosting exports. A weaker dollar also mades U.S. stocks cheaper by comparison. As a result, foreign investors had been buying U.S. stocks at the fastest rate since 2012.
The stock market historically performs similarly to the economy. A bear market occurs during a recession and a bull market during an expansion. Here is the history of the Dow since the Great Depression. It shows how stock market fluctuations reflect natural stages of the business cycle.
The Dow hit two 100-point milestones in the first few weeks in January.
It closed above 25,000 on January 4 and it breached 26,000 on January 17. Milestones are in bold. The index set 11 closing records in 2018.
|Date||Jan 3||Jan 4||Jan 5||Jan 9||Jan 11||Jan 12|
|Date||Jan 17||Jan 22||Jan 24||Jan 25||Jan 26|
For the first time, the Dow reached four 1,000-point milestones in one year. On January 25, 2017, the Dow hit 20,000.77 just moments after the New York Stock Exchange opened at 9:30 a.m. EST. It closed at 20,068.51. That was just 42 trading sessions after it closed above 19,000. That is the second-fastest rise in U.S. history. The record is the 24 sessions it took to go from 10,000 to 20,000 in 1999.
On March 1, 2017, it closed above 21,000. That followed a 12-day run, the longest such streak since the record 13-day stretch in 1987. When the Dow breached 22,000 on August 2, 2017, it was the first time it hit three such milestones in one year. The index closed above 23,000 on October 18, 2017. Slightly more than a month later, it broke 24,000.
The Dow has had two streaks lasting more than 10 days this year. The last time it did that was in 1959. It's had three nine-day runs. The last time that happened was in 1955 when there were four nine-day stretches. The Dow has moved higher for eight months in a row. The last time that happened was in 1995.
Here are the 70 records set in 2017. Milestones are in bold.
|Date||Jan 25||Jan 26||Feb 9||Feb 10||Feb 13||Feb 14|
|Date||Feb 15||Feb 16||Feb 17||Feb 21||Feb 22||Feb 23|
|Date||Feb 24||Feb 27||Mar 1||Jun 1||Jun 2||Jun 9|
|Date||Jun 13||Jun 14||Jun 16||Jun 19||July 12||Jul 13|
|Date||Jul 14||Jul 19||Jul 26||Jul 27||Jul 28||Jul 31|
|Date||Aug 1||Aug 2||Aug 3||Aug 7||Sep 12||Sep 13|
|Date||Sep 14||Sep 15||Sep 18||Sep 19||Sep 20||Oct 2|
|Date||Oct 3||Oct 4||Oct 5||Oct 10||Oct 11||Oct 16|
|Date||Oct 17||Oct 18||Oct 19||Oct 20||Oct 24||Nov 2|
|Date||Nov 3||Nov 6||Nov 7||Nov 8||Nov 21||Nov 28|
|Date||Nov 29||Nov 30||Dec 4||Dec 8||Dec 11||Dec 12|
|Date||Dec 13||D ec 15||Dec 18||Dec 28|
The Dow's 2016 closing high was 19,974.62 set on December 20, 2016. The Dow's November streak came after falling 638 points, or 3.4 percent, in futures trading as investors initially reacted to Trump's unexpected presidential win on November 8. Traders regained confidence after Trump struck a cooperative tone in Wednesday morning's acceptance speech.
On November 22, the Dow closed above 19,000. Here are the 26 records set in 2016. Seventeen occurred after the election.
|Date||Jul 12||Jul 13||Jul 14||Jul 15||Jul 18||Jul 19|
|Date||Jul 20||Aug 11||Aug 15||Nov 10||Nov 11||Nov 14|
|Date||Nov 15||Nov 21||Nov 22||Nov 23||Nov 25||Dec 1|
|Date||Dec 5||Dec 6||Dec 7||Dec 8||Dec 9||Dec 12|
|Date||Dec 13||Dec 20|
In July and August, the Dow rose as investors flocked to safe U.S. markets after turbulence rocked the European Union. On June 24, the Dow fell 610.32 points the day after Brexit. That's when the United Kingdom voted to leave the EU. That threatened the U.S. businesses that are the U.K's largest investors. On July 13, the UK elected a new prime minister. On July 14, a terrorist attacked the French resort town of Nice. On July 15, the Turkish military failed in a coup attempt on President Recep Erdogan's government.
Before that, the Dow was in a market correction between August 2015 and April 19, 2016. It fell to a low of 15,660.18 on February 11. The 2016 downturn began January 4 when the Dow fell 467 points. Investors worried about a slowdown in China's economic growth. Two days later it dropped another 400 points when China changed how it pegs the yuan to the dollar. By January 7, the Dow had fallen 5.2 percent to 16,514.10, the worst yearly start ever. The next day, it dropped to 16,346.45. For the week, the Dow lost 1,078.58 points or 6.18 percent. The damage continued. By January 20 it fell to 15,464.97 in intraday trading but closed up at 15,766.74. Investors panicked over plummeting oil prices, the devaluation of the yuan, and turmoil in China's stock market.
After setting the record high in May 2015, the Dow fell 531 points August 21, closing at 16,459.75. On August 24, Black Monday, it fell another 1,089 points in the first few minutes of trading, to 15,370.33. That correction was more than 16 percent lower than its all-time high set in May, putting it into a market correction but not a bear market. Investors worried about China's yuan devaluation and the uncertainty over the Fed's rate increase. The market closed higher, at 15,871.39. The selloff continued on Tuesday, when the Dow closed at 15,666.44, but regained its upward momentum on Wednesday, closing at 16,285.51.
Why was the Dow so volatile? Just a few companies were responsible for the 2015 highs. Companies like Apple and IBM borrowed billions to buy back shares, thanks to record-low interest rates. It artificially raised their earnings-per-share and the prices of the remaining outstanding stocks. One analyst said that 99 companies in the S&P 500 boosted their earnings-per-share by 4 percent just by lowering the number of shares outstanding. Here are the six records set in 2015.
|Date||Feb 20||Feb 24||Feb 25||Mar 2||May 18||May 19|
The Dow closed at 18,053.71 on December 26, its high for the year. Its low for the year was 15,372.80, reached on February 3. Share repurchases among the S&P 500 companies were 59 percent higher in the first quarter of 2014 than the first quarter in 2013. In total, $159.3 billion was spent, the largest amount since 2007 -- right before the stock market crashed.
Stock market gains since the 2008 financial crisis were on mediocre volume. Only three days traded more than 200 million shares, a level similar to the late 1990s. Volume fell after the recession and didn't return.
The Dow set three milestones in 2014. On April 30, it surpassed 16,000. On July 3, it broke 17,000. It then hit a new record on July 16, before heading into correction territory for two months. On October 31, the Federal Open Market Committee announced it wouldn't raise interest rates until 2015. Investors applauded the guarantee for lower interest rates for the remainder of 2014. It closed above 18,000 on December 23. Here are the 39 records set in 2014.
|Date||Feb 3||Apr 30||May 9||May 12||May 13||May 30|
|Date||Jun 2||Jun 5||Jun 6||Jun 9||Jun 10||Jun 20|
|Date||Jul 1||Jul 2||Jul 3||Jul 16||Sep 17||Sep 18|
|Date||Sep 19||Oct 31||Nov 5||Nov 6||Nov 7||Nov 10|
|Date||Nov 11||Nov 13||Nov 18||Nov 20||Nov 21||Nov 24|
|Date||Nov 26||Nov 28||Dec 2||Dec 3||Dec 5||Dec 22|
|Date||Dec 23||Dec 24||Dec 26|
The Dow gained 3,472.56 points during 2013, higher than any prior year on record. Its percentage increase was 26.5 percent.
It recovered from the Great Recession on March 5, 2013. It closed at 14,253.77, taking five years to surpass its previous record of 14,164.53 set on October 9, 2007. It rose above 15,000 for the first time on May 7.
Here are the 52 closing records for the year:
|Date||Mar 5||Mar 6||Mar 7||Mar 8||Mar 11||Mar 12|
|Date||Mar 13||Mar 14||Mar 26||Mar 28||Apr 2||Apr 9|
|Date||Apr 10||Apr 11||May 3||May 7||May 8||May 10|
|Date||May 14||May 15||May 17||May 21||May 28||Jul 11|
|Date||Jul 12||Jul 15||Jul 18||Jul 23||Aug 1||Aug 2|
|Date||Sep 18||Oct 29||Nov 6||Nov 8||Nov 11||Nov 13|
|Dow||Nov 14||Nov 15||Nov 18||Nov 21||Nov 22||Nov 25|
|Dow||Nov 26||Nov 27||Dec 18||Dec 19||Dec 20||Dec 23|
|Dow||Dec 24||Dec 26||Dec 30||Dec 31|
The Dow's drop was more painful than in any other downturn. It fell more than 50 percent in just 17 months. That was less than the 80 percent drop during the Great Depression, but that loss took three years.
On October 9, 2007, the Dow closed at its pre-recession all-time high of 14,164.43. But fourth-quarter gross domestic product growth contracted 1 percent, announcing the start of the recession. (It was later re-estimated at a positive 2.9 percent.) The Dow started declining gradually. After the failure of Bear Stearns in April 2008 and a negative GDP report in Q2 2008, the Dow dropped to 11,000. Many analysts felt that this 20 percent decline was the market bottom.
But it wasn’t the bottom. On Monday, September 15, 2008, Lehman Brothers declared bankruptcy. On Wednesday, panicky bankers withdrew $144 billion from money market funds, almost causing a collapse.
On September 29, 2008, the Dow fell 770 points. That was its most significant single-day point drop ever. Investors were stunned that the U.S. House of Representatives rejected a $700 billion bailout bill to save failing banks. The Senate reintroduced the bailout as TARP on October 3. Nevertheless, the Dow plummeted 13 percent in October. By November 20, 2008, it fell to 7,552.29, a new low.
That was still not the real market bottom. The Dow climbed to 9,034.69 on January 2, 2009, before screeching down to 6,594.44 on March 5, 2009.
On July 24, 2009, the Dow finally reversed course. It beat its January high, rising to 9,093.24 by close of day.
The Dow peaked on January 14, 2000, closing at 11,722.98, thanks to the boom in Internet businesses. It started falling soon afterward, hitting its first bottom of 9,796 on March 7, 2001. That when the 2001 recession began. The Dow bounced around until the markets closed following the 9/11 terrorist attacks. When the markets reopened on September 17, 2001, the Dow dropped to 8,920.70. Threats of war drove the Dow down until October 9, 2002. On that day, it closed at 7,286.27, a 37.8 percent decline from its peak. The recession ended in November. But no one knew for sure if the bull market had begun until the Dow hit a higher low on March 11, 2003, closing at 7,524.06.
1998 Currency Crisis
In 1997, Thailand cut its peg to the dollar, leading to a devaluation of currency throughout southeast Asia. A year later, Russia devalued the ruble and defaulted on its bonds. The stock market dropped 20 percent. The Long-Term Capital Management hedge fund almost collapsed, threatening to push its banking investors into bankruptcy. Former Federal Reserve Chairman Alan Greenspan convinced them to support the hedge fund, averting further disaster.
Iraq invaded Kuwait in July 1990, causing the Dow to drop 18 percent in three months, from 2,911.63 on July 3 to 2,381.99 on October 16, 1990.
1987 Stock Market Crash
On October 19, 1987, the Dow fell 22.6 percent, from 2,246.73 to 1,738.74. The Black Monday stock market crash may have been caused by computer trading that forced sell orders when the market turned down. The Dow didn't regain its August 25, 1987, peak of 2,722.42 for two years. The loss of liquidity from this crash led to the savings and loan crisis in 1989.
The Dow dropped 16 percent, from a high of 903.84 on February 13, 1980, to a low of 759.13 on April 21, 1980. The Federal Reserve, under Paul Volcker, lowered the fed funds rate to 8.5 percent in response. The Dow rose to 1,004.32 on April 28, 1981. But the Fed then raised rates to combat inflation, which reduced business spending. By August 12, 1982, the Dow had dropped 22.6 percent, to 776.92.
By December 4, 1974, the Dow had fallen 45 percent from its peak of 1,051.7 on January 11, 1973. President Nixon helped create this recession by ending the gold standard.
The Dow dropped 30 percent between December 31, 1968, and May 26, 1970, from 908.92 to 631.6.
1962 Cuban Missile Crisis
The United States launched an embargo against Cuba in February 1962. The Dow dropped 26.5 percent from its post-election height of 728.8 on December 1, 1961, to its June 26, 1962, low of 535.76. Tensions rose in October 1962. The Dow dropped 2 percent the day after President Kennedy's October 22 speech.
The Dow fell 13.9 percent from its December 31, 1959, height of 679.36 to its November 1, 1960, low of 585.24.
Recession of 1957
The Dow dropped 14.1 percent, from its height of 506.21 on August 1, 1957, to its low of 434.71 on November 1, 1957.
Recession of 1953
The Dow fell 7.5 percent between January 1 and September 1, 1953.
The Dow dropped 19.3 percent between June 1948 and June 1949.
The Dow fell 19.3 percent between June and October 1946.
The Great Depression
The Dow fell 90 percent mainly thanks to the stock market crash of 1929.