The US stock market’s benchmark indexes, led by the Dow Jones Industrial Average, have reached new highs in recent times. However, a milestone achieved by the Dow finishing above 45,000 on Wednesday brings into question what makes a significant market milestone.
Historically, reaching a 1,000-point mark was considered a major achievement, signifying substantial gains in the stock market. However, with current market trends showing increasingly smaller percentage increases for each milestone reached, such achievements are becoming less impressive.
The recent rally of the Dow and other major benchmarks has pushed them to record-breaking heights. As markets continue to climb, it’s worth examining how milestones like this one will be perceived in the future, suggesting a shift away from traditional measures of market success.
Source: https://www.marketwatch.com/story/the-dow-trades-above-45-000-for-the-first-time-it-may-be-time-to-rethink-what-makes-a-milestone-10fcbec1