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5 July, 10:30

On March 9, 2009, the Dow Jones Industrial Average reached a new low at a close of 7,447.50, which was down 98.34 that day. What was the return (in percent) of the stock market that day?

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  1. 5 July, 10:48
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    Answer: - 1.26%

    Explanation:

    We can solve for this using the following formula.

    Return on Stock Market = Down figure of Index / (Close figure of Index - down figure of Index)

    So calculating we have,

    Return on Stock Market = - 98.34 / (7,447.50 - (-98.34))

    Return on Stock Market = - 98.34 / 7,545.84

    Return on Stock Market = - 0.0126

    Return on Stock Market = - 1.26%
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