Dow Jones advances despite hawkish comments from Fed's Williams

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Dow Jones advances despite hawkish comments from Fed's Williams
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The Dow Jones Industrial Average (DJIA) is finally posting gains in January as investors digest the strong US economic outlook and pare back their interest rate cut hopes.

Dow Jones index advances on more favorable risk environment. US equity markets remain positive despite strong macroeconomic data, hawkish comments from Fed’s Williams. Broader Dow Jones trend remains negative, on corrective reversal from March highs. The Dow Jones Industrial Average is finally posting gains in January as investors digest the strong US economic outlook and pare back their interest rate cut hopes.

Each company’s influence on the computation of the index is weighted based on market capitalization. This is calculated by multiplying the number of publicly traded shares of the company by the share price. The S&P 500 index has achieved impressive returns – $1.00 invested in 1970 would have yielded a return of almost $192.00 in 2022. The average annual return since its inception in 1957 has been 11.9%.

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