ES Journal - 2013

Quote from startraitor:

Since 1999 nearly half of the components in the sp composite has changed and the dow is swapping out 10% in a day. While no money is benchmarked to the dow it is the most widely quoted and followed public index. I think it is disingenuous and inaccurate to even make comparisons to market highs from 2000 or even 2007 till now, not even mentioning the skewing effect the capitalization weighting the sp, and price weighing the dow stocks have over longer periods of time.

Great information LC.
More...

Thanks.

One thing interesting is that Dow has distanced itself from companies processing raw materials again.

Putting Nike in there is a very interesting move too.

For S&P the top 50 companies (by weighting) are pretty much the same companies since 2004. They contribute 70%+ to the index value thus the other 450 companies do not really matter. =P

Will be very interesting to see how the coming 3 to 4 weeks unfold.
 
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