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I don't think this is true It is 100% true. The way the DJIA is computed is by summing the share prices of each of the 30 constituents and then dividing by a m
by minimax 12y ago
I don't think this is true
It is 100% true. The way the DJIA is computed is by summing the share prices of each of the 30 constituents and then dividing by a magic constant (the divisor). When you think about it this way it's obvious that a $1 increase in share price for any of the constituents will have exactly the same impact on the value of the DJIA.
- ccallebs 12y agoAh, my understanding was flawed then. Sorry to spread misinformation!