The first half of the year is officially over and in the record books. All three major U.S. indexes are in positive territory, but the Dow Jones Industrial Average is clearly lagging behind the S&P 500 and Nasdaq. However, the Dow broke above 17,000 on Friday for the first time in history, and there are at least five blue chips that are outperforming.
During the first six months of the year, the Dow gained a very modest 1.5 percent. In comparison, the S&P 500 and Nasdaq jumped 6.1 percent and 5.5 percent, respectively. The S&P 500 has managed to climb higher for six consecutive quarters, representing the longest streak of gains for the index since 1998. The gap performance between the Dow and the S&P 500 during the first half of the year was one of the biggest on record.
“Going back to 1929, there have only been five other years where the DJIA performed worse relative to the S&P 500,” explains Bespoke Investment Group. “The widest margin of outperformance was in 2000, when the DJIA was down over 9 percent in the first half of the year while the S&P 500 was down just 1.0 percent. The most recent period where the S&P 500 outperformed the DJIA by a wider margin was in 2009, so there’s something for both bears (2000) and the bulls (2009) in terms of similar periods.”
Despite the outperformance of the S&P 500, let’s take a look at five Dow members outperforming all three major indexes in 2014.