February 4, 2015:  The chart below shows the Dow Jones Industrial Average (or DJIA) adjusted for inflation on a log scale.   Currently, the DJIA at $17,665.85 is 2.1% below its record all time closing high.


From Chartoftheday.com¹

As the Dow trades approximately 2% below all-time record highs, today's chart provides some perspective by illustrating the inflation-adjusted Dow since 1900 -- there are several points of interest. Take for example an unlucky buy-and-hold investor that invested in the Dow right at the dot-com peak of December 1999. A decade and a half later, the Dow is up a mere 10%. Considering the volatility of that period, it is a return on investment that is definitely not for the faint of heart. On the other hand, take the investor who bought right at the end of the financial crisis. The inflation-adjusted Dow is up a significant 126% from its financial crisis lows -- not bad for a little less than six years. In the end, the inflation-adjusted Dow continues to trend higher and is currently 0.3% below its all-time record high.