Current Forecast of Dow Jones Industrial Average

Units: DJIA Index Values, Average of Month.  Not Seasonally Adjusted.

Solid Line = Actual Values.  Dashed Line = Predicted Values.

Forecast Values for Dow Jones Industrial Average


How This Forecast is Produced

The forecast of the indicator above is produced using Multichannel Singular Spectrum Analysis, or MSSA.

The forecast is made by using MSSA to decompose the time series into a trend component and many cyclical components.  The decomposed components of the time series are then projected forward in time.

The Dow Jones Industrial Average

The Dow Jones Industrial Average, or the Dow or DJIA, is a U.S. based stock market index.  The Dow is based on the stock prices of 30 stocks traded on the NYSE or NASDAQ.  The 30 stocks that make up the Dow include such well known companies as Disney, McDonald's, General Electric and Coca-Cola.

The index is created by summing the prices of the 30 stocks and dividing by a factor called the "divisor."  The divisor changes over time to account for changes to the stocks included in the list of 30 and to account for stock splits.  The index is currently owned and maintained by S&P Dow Jones Indices.