Nasdaq Composite

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Nasdaq Composite
NASDAQ Logo.svg
base data
Country United States
Stock exchange NASDAQ
ISIN XC0009694271
WKN 969427
symbol COMPX
RIC ^ IXIC
Bloomberg code CCMP <INDEX>
category Stock index
Type Price index
family NASDAQ

The Nasdaq Composite is the largest share index on the NASDAQ . It lists over 3,000 companies, mainly from the technology sector. All stocks listed on NASDAQ have a four-digit code (e.g. AMZN for Amazon.com or MSFT for Microsoft ). In contrast to the Nasdaq Composite, the NASDAQ 100 index includes the 100 technology stocks with the highest market capitalization .

calculation

The Nasdaq Composite is a price index . The index level is determined solely on the basis of share prices and only adjusted for income from subscription rights and special payments. The weighting is based on the market capitalization of the listed companies. Corporate actions such as stock splits have no (distorting) influence on the index. The calculation is updated every second during NASDAQ trading hours from 9:30 am to 4:00 pm local time (3:30 pm to 10:00 pm CET). The Nasdaq Composite reflects the performance of all companies traded on the NASDAQ.

Leading indicator for the stock market

The Nasdaq Composite and the Dow Jones Utility Average with its utility stocks are good leading indicators among stock indices. If both were trading at an 18-week low, prices can usually be expected to fall worldwide. If they were both trading at a 13-week high, an uptrend can be expected.

The utilities' profits are usually not subject to major fluctuations. This fact makes the Dow Jones Utility Average a predictable factor in determining whether stocks are over- or undervalued relative to interest-bearing securities . Unlike the stocks in the Dow Jones Utility Average, the Nasdaq Composite contains very dynamic companies. Technology stocks are subject to much stronger price fluctuations and therefore react very quickly to an impending bear market or an impending bull market .

Both indices in combination give good signals for the entire stock market. For a trend reversal up or down, the Nasdaq Composite and the Dow Jones Utility Average must point in the same direction. If only one of the two indices shows a trend reversal, the earlier signal still applies.

history

Historical overview

Nasdaq Composite 1970-2012

The Nasdaq Composite was first published on February 5, 1971 (index basis: 100 points) and calculated back to 1938 on a monthly basis. On October 19, 1987, the index posted the highest daily loss in its history with 11.35 percent. The reason was Black Monday on the New York Stock Exchange , when the value of the Dow Jones Industrial Average plummeted 22.6 percent.

On July 17, 1995, the Nasdaq Composite closed above the 1,000 point mark for the first time and on July 16, 1998 for the first time above the 2,000 point mark. The index then accelerated. On November 3, 1999, the 3,000-point mark was passed for the first time. On December 29, 1999, the index closed above the 4,000 point mark for the first time and on March 9, 2000, above the 5,000 point mark for the first time. On March 10, 2000, the Nasdaq Composite ended trading at an all-time high of 5,048.62 points. That was an increase of 4,948.6 percent since 1971. On January 3, 2001, the index posted the highest daily gain in its history with 14.17 percent.

The index level from spring 2000 marks the peak of the speculative bubble in the technology sector ( dot-com bubble ). By October 9, 2002, the Nasdaq Composite fell to a closing level of 1,114.11 points. That's a 77.9 percent decrease from its all-time high of March 2000. October 9, 2002 marks the turning point in the downward trend. As of fall 2002, the Nasdaq Composite was on the way up again. By October 31, 2007, the share index rose to a closing level of 2,859.12 points.

In the course of the international financial crisis , which had its origin in the US real estate crisis in the summer of 2007, the Nasdaq Composite began to decline again. On September 29, 2008, the index closed at 1,983.73 points for the first time since May 16, 2005, below the 2,000 point limit. The index hit a new low on March 9, 2009 when it ended trading at 1,268.64 points. Since October 31, 2007 this corresponds to a decrease of 55.6 percent.

March 9, 2009 marks the turning point of the downward trend. As of spring 2009, the Nasdaq Composite was on the way up again. By April 29, 2011, it rose by 126.5 percent to a closing level of 2,873.54 points. The weakening of the global economy and the worsening of the euro crisis led to a slump in the share index. On October 3, 2011, the Nasdaq Composite ended trading at 2,335.83 points. The loss since the peak on April 29, 2011 is 18.7 percent.

On September 14, 2012, the index closed at 3,183.95 points, its highest level since November 9, 2000. The gain since October 3, 2011 is 36.3 percent.

Highs

On Thursday, April 25, 2019, the Nasdaq Composite marked an all-time high in trading.

  Points date
in the course of trading 8,151.84 Thursday April 25, 2019
on a closing price basis 8,146.40 Friday April 26, 2019

Milestones

The table shows the milestones of the Nasdaq Composite since 1971.

First
close
over 		Final
score in points 		date
100 100.00 5th February 1971
500 501.62 April 12, 1991
1,000 1,005.89 July 17, 1995
1,500 1,502.62 July 11, 1997
2,000 2,000.56 July 16, 1998
2,500 2,505.89 January 29, 1999
3,000 3,028.51 November 3, 1999
3,500 3,520.63 December 3, 1999
4,000 4,041.46 December 29, 1999
4,500 4,548.92 February 17, 2000
5,000 5,046.86 9th of March 2000
6,000 6,025.49 April 25, 2017
7,000 7,006.90 2nd January 2018
8,000 8,017.90 August 27, 2018

The best days

The table shows the Nasdaq Composite's best days since 1971.

rank date Final
score in points 		Change
in points 		Change
in%
1 0Jan. 3, 2001 2,616.69 324.83 14.17
2 Oct 13, 2008 1,844.25 194.74 11.81
3 0Dec 5, 2000 2,889.80 274.05 10.48
4th Oct 28, 2008 1,649.47 143.57 9.53
5 0Apr 5, 2001 1,785.00 146.20 8.92
6th Apr 18, 2001 2,079.44 156.22 8.12
7th May 30, 2000 3,459.48 254.37 7.94
8th Oct 13, 2000 3,316.77 242.09 7.87
9 Oct 19, 2000 3,418.60 247.04 7.79
10 0May 8, 2002 1,696.29 122.47 7.78
11 Dec 22, 2000 2,517.02 176.90 7.56
12 Oct 21, 1987 351.86 24.07 7.34
13 Apr 18, 2000 3,793.57 254.41 7.19
14th 10 Mar 2009 1,358.28 89.64 7.07
15th 23 Mar 2009 1,555.77 98.50 6.76
16 Apr 25, 2000 3,711.23 228.75 6.57
17th Apr 17, 2000 3,539.16 217.87 6.56
18th Nov 13, 2008 1,596.70 97.49 6.50
19th 0June 2, 2000 3,813.38 230.88 6.45
20th Nov 24, 2008 1,472.02 87.67 6.33
21st Apr 10, 2001 1,852.03 106.32 6.09
22nd 08 Sep 1998 1,660.86 94.34 6.02
23 0Dec 8, 2000 2,917.43 164.77 5.99
24 0Oct 3, 2001 1,580.81 88.48 5.93
25th July 29, 2002 1,335.25 73.13 5.79
26th Nov 14, 2000 3,138.27 171.55 5.78
27 Oct 31, 2000 3,369.63 178.23 5.59
28 Oct 16, 2008 1,717.71 89.38 5.49
29 Sep 30 2008 2,091.88 108.15 5.45
30th Nov 24, 2000 2,904.38 149.04 5.41

The worst days

The table shows the Nasdaq Composite's worst days since 1971.

rank date Final
score in points 		Change
in points 		Change
in%
1 Oct 19, 1987 360.21 −46.12 −11.35
2 Apr 14, 2000 3,321.29 −355.49 −9.67
3 29 Sep 2008 1,983.73 −199.61 −9.14
4th Oct 26, 1987 298.90 −29.55 −9.01
5 Oct 20, 1987 327.79 −32.42 −9.00
6th 0Dec 1, 2008 1,398.07 −137.50 −8.95
7th Aug 31, 1998 1,499.25 −140.43 −8.56
8th Oct 15, 2008 1,628.33 −150.68 −8.47
9 0Apr 3, 2000 4,223.68 −349.15 −7.64
10 0Jan. 2, 2001 2,291.86 −178.66 −7.23
11 Oct 27, 1997 1,532.75 −118.17 −7.16
12 Dec 20, 2000 2,332.78 −178.93 −7.12
13 Apr 12, 2000 3,769.63 −286.27 −7.06
14th 0Aug 8, 2011 2,357.69 −174.72 −6.90
15th 17 Sep 2001 1,579.55 −115.83 −6.83
16 Nov 19, 2008 1,386.42 −96.85 −6.53
17th March 12 2001 1,923.38 −129.40 −6.30
18th 0Jan. 5, 2001 2,407.65 −159.18 −6.20
19th 0Apr 3, 2001 1,673.00 −109.97 −6.17
20th 27 Mar 1980 124.09 −8.13 −6.15
21st 28 Mar 2001 1,854.13 −118.13 −5.99
22nd May 23, 2000 3,164.55 −199.66 −5.94
23 Apr 10, 2000 4,188.20 −258.25 −5.81
24 0Oct 7, 2008 1,754.88 −108.08 −5.80
25th Jan. 20, 2009 1,440.86 −88.47 −5.78
26th May 10, 2000 3,384.73 −200.28 −5.59
27 Apr 19, 1999 2,345.61 −138.43 −5.57
28 Oct 25, 2000 3,229.57 −190.22 −5.56
29 0Jan. 4, 2000 3,901.69 −229.46 −5.55
30th 0Nov 5, 2008 1,681.64 −98.48 −5.53
31 0Nov 5, 2008 5,019.72 −48.74 −0.96

Annual development

The table shows the annual development of the Nasdaq Composite calculated back to 1938.

year Final
score in points 		Change
in points 		Change
in%
1938 6.09
1939 6.71 0.62 1.02
1940 6.82 0.11 1.64
1941 5.64 −1.18 −17.30
1942 6.15 0.51 9.04
1943 7.51 1.36 22.11
1944 9.31 1.80 23.97
1945 12.39 3.08 33.08
1946 11.03 −1.36 −10.98
1947 11.64 0.61 5.53
1948 10.57 −1.07 −9.19
1949 11.31 0.74 7.00
1950 13.89 2.58 22.81
1951 15.34 1.45 10.44
1952 15.55 0.21 1.37
1953 15.17 −0.38 −2.44
1954 22.07 6.90 45.48
1955 25.46 3.39 15.36
1956 28.35 2.89 11.35
1957 23.11 −5.24 −18.48
1958 32.71 9.60 41.54
1959 34.97 2.26 6.91
1960 34.46 −0.51 −1.46
1961 45.37 10.91 31.66
1962 38.56 −6.81 −15.01
1963 46.44 7.88 20.44
1964 57.17 10.73 23.11
1965 66.98 9.81 17.16
1966 63.93 −3.05 −4.55
1967 80.94 17.01 26.61
1968 101.80 20.86 25.77
1969 99.39 −2.41 −2.37
1970 89.61 −9.78 −9.84
1971 114.12 24.51 27.35
1972 133.73 19.61 17.18
1973 92.19 −41.54 −31.06
1974 59.82 −32.37 −35.11
1975 77.62 17.80 29.76
1976 97.88 20.26 26.10
1977 105.05 7.17 7.33
1978 117.98 12.93 12.31
1979 151.14 33.16 28.11
1980 202.34 51.20 33.88
1981 195.84 −6.50 −3.21
1982 232.41 36.57 18.67
1983 278.60 46.19 19.87
1984 247.35 −31.25 −11.22
1985 324.93 77.58 31.36
1986 348.83 23.90 7.36
1987 330.47 −18.36 −5.26
1988 381.38 50.91 15.41
1989 454.82 73.44 19.26
1990 373.84 -80.98 −17.80
1991 586.34 212.50 56.84
1992 676.95 90.61 15.45
1993 776.80 99.85 14.75
1994 751.96 −24.84 −3.20
1995 1,052.13 300.17 39.92
1996 1,291.03 238.90 22.71
1997 1,570.35 279.32 21.64
1998 2,192.69 622.34 39.63
1999 4,069.31 1,876.62 85.59
2000 2,470.52 −1,598.79 −39.29
2001 1,950.40 −520.12 −21.05
2002 1,335.51 -614.89 −31.53
2003 2,003.37 667.86 50.01
2004 2,175.44 172.07 8.59
2005 2,205.32 29.88 1.37
2006 2,415.29 209.97 9.52
2007 2,652.28 236.99 9.81
2008 1,577.03 −1,075.25 −40.54
2009 2,269.15 692.12 43.89
2010 2,652.87 383.72 16.91
2011 2,605.15 −47.72 −1.80
2012 3,019.51 414.36 15.91
2013 4,176.59 1157.05 38.32
2014 4,736.05 559.46 13.40
2015 5,007.41 271.36 5.73
2016 5,383.12 375.71 7.50
2017 6,903.39 1,520.27 28.24
2018 6,635.28 −268.11 −3.88
2019 8,972.60 2,337.32 35.23

Bull markets

The Nasdaq Composite's longest bull market lasted a total of 2,834 days between 1990 and 1998. The bull market with the greatest profit also occurred between 1990 and 1998, when investors gained 518.9 percent with stocks. According to a study by the US analysis company Ned Davis Research, there have been 14 cyclical bull markets with an average duration of 829 days since 1971. The average profit was 128.0 percent.

According to a definition by Ned Davis Research, bull markets are price gains of the Nasdaq Composite of at least 30 percent after 50 days, an increase in the index of 13 percent after 155 days or a 30 percent reversal in the geometric Value Line Composite Index .

Beginning Final
score in points 		The End Final
score in points 		Change
in% 		Days
Nov 23, 1971 100.31 Jan. 11, 1973 136.84 36.4 415
0Oct 3, 1974 54.87 15th July 1975 88.00 60.4 285
16 Sep 1975 73.78 13 Sep 1978 139.25 88.7 1,093
Nov 14, 1978 110.88 0Feb. 8, 1980 165.25 49.0 451
27 Mar 1980 124.09 May 29, 1981 223.47 80.1 428
Aug 13, 1982 159.14 June 24, 1983 328.91 106.7 315
July 25, 1984 225.30 Aug 26, 1987 455.26 102.1 1,127
Oct 28, 1987 291.88 0Oct 9, 1989 485.73 66.4 712
Oct 16, 1990 325.44 July 20, 1998 2,014.25 518.9 2,834
0Oct 8, 1998 1,419.12 10 Mar 2000 5,048.62 255.8 519
21 Sep 2001 1,423.19 0Jan. 4, 2002 2,059.38 44.7 105
0Oct 9, 2002 1,114.11 Oct 31, 2007 2,859.12 156.6 1,848
09 Mar 2009 1,268.64 Apr 29, 2011 2,873.54 126.5 781
0Oct 3, 2011 2,335.83  

Bear markets

The Nasdaq Composite's longest bear market lasted a total of 630 days between 1973 and 1974. The bear market with the greatest loss occurred between 2000 and 2001. During that time, investors lost 71.8 percent with stocks. According to a study by the US analysis company Ned Davis Research, there have been 13 cyclical bear markets with an average duration of 272 days since 1971. The average loss was 36.2 percent.

According to a definition by Ned Davis Research, bear markets are price losses of the Nasdaq Composite of at least 30 percent after 50 days, a decrease in the index of 13 percent after 145 days or a 30 percent reversal in the geometric Value Line Composite Index.

Beginning Final
score in points 		The End Final
score in points 		Change
in% 		Days
Jan. 11, 1973 136.84 0Oct 3, 1974 54.87 −59.9 630
15th July 1975 88.00 16 Sep 1975 73.78 −16.2 63
13 Sep 1978 139.25 Nov 14, 1978 110.88 −20.4 62
0Feb. 8, 1980 165.25 27 Mar 1980 124.09 −24.9 48
May 29, 1981 223.47 Aug 13, 1982 159.14 −28.8 441
June 24, 1983 328.91 July 25, 1984 225.30 −31.5 397
Aug 26, 1987 455.26 Oct 28, 1987 291.88 −35.9 63
0Oct 9, 1989 485.73 Oct 16, 1990 325.44 −33.0 372
July 20, 1998 2,014.25 0Oct 8, 1998 1,419.12 −29.5 80
10 Mar 2000 5,048.62 21 Sep 2001 1,423.19 −71.8 560
0Jan. 4, 2002 2,059.38 0Oct 9, 2002 1,114.11 −45.9 278
Oct 31, 2007 2,859.12 09 Mar 2009 1,268.64 −55.6 495
Apr 29, 2011 2,873.54 0Oct 3, 2011 2,335.83 −18.7 157

Further stock indices in the USA

Web links

Individual evidence

  1. ↑ Uwe Lang: The best equity strategies. FinanzBook Verlag, Munich 2005, ISBN 3-89879-112-2
  2. ↑ Yahoo: Historical Prices
  3. ↑ Historical NASDAQ Comp. Development - finanzen.net. In: finanzen.net. February 5, 2016, accessed February 7, 2016 .
  4. ^ NASDAQ: Statistical Milestones
  5. ^ A b Wall Street Journal: Best and Worst Days December 30, 2011.
  6. ↑ SourceOne Stock Info: NASDAQ Composite Index Performance 1938–2004 ( Memento of the original from April 16, 2012 in the Internet Archive ) Info: The archive link was automatically inserted and not yet checked. Please check the original and archive link according to the instructions and then remove this notice. @1@ 2Template: Webachiv / IABot / www.sourceonestockinfo.com
  7. ↑ 1Stock1: Nasdaq Composite Index Yearly Returns
  8. ↑ a b eMiniMaster: Stock Traders Almanac 2008