Reported 2 days ago
After breaking a 10-day losing streak, the Dow Jones Industrial Average has shown that its historical importance is waning, primarily due to its price-weighted indexing method. Unlike the market capitalization used by indices like the S&P 500, this pricing system has led to discrepancies, with companies such as UnitedHealthcare holding significant weight despite lower overall value. As the market shifts, the Dow's traditional structure presents challenges in accurately reflecting current market dynamics.
Source: YAHOO