• Thought of the Day

    Thought of the Day

    2000: Earnings can be as pliable as putty when a charlatan heads the company reporting them. Eventually truth will surface, but in the meantime a lot of money can change hands. Indeed, some important American fortunes have been created by the monetization of accounting mirages.

    Warren Buffett, chairmans letter, Berkshire Hathaway annual report, 1990,

Today in Financial History

1914: Henry Ford announces that he will share the Ford Motor Co.'s profits with its workers by raising wages from $2.34 for a nine-hour day to $5.00 for an eight-hour day. He hopes his own workers will be able to afford to buy their own Fords; within two years, Ford goes on to produce its 1,000,000th car.

1906: The Dow Jones Industrial Average, a few months short of its tenth birthday, closes above 100 for the first time, finishing the day at 100.25.

John A. Prestbo, ed., The Market's Measure: An Illustrated History of America Told through the Dow Jones Industrial Average (Dow Jones, New York, 1999), p. 56