The DJIA close of 15,409.39 set a new, record high but the NASDAQ as well as the S&P500 show recovery rates in this expansion. The DJIA now stands at 135 percent of its 2009 low, which is not as good as the S&P500’s recapture rate of 145 percent. The NASDAQ did better yet, ending the day 175 percent greater than on March 9, 2009.
Yet the DJIA comes off better when comparing current values to their previous, 2007 highs. Our diagram reveals the DJIA at 108.8 percent of its October 2007 close. The S&P500 lags that rate, recovering only 106.1 of the 2007 high.
The NASDAQ again beats both: so far, it has regained 124.4 percent of its 2007 top.
Another fact overlooked by the DJIA’s good news is that at the end of the day, both the NASDAQ and the S&P500 stand below their closes of four days ago.
Good news from the housing sector added to the high spirits of business commentators. Real estate prices now stand near 11 percent of their year ago levels; in addition, housing starts are moving higher. Then consumer confidence is increasing and finally, the Fed seems ready to continue, rather than stopping, as was announced last week, its purchases of debts to support the economy . . . and of course as a result, to buttress the prices of all financial securities.
DJIA .69 percent
NASDAQ .86 percent
S&P500 .63 percent
