A 15-Year Comeback: How Nasdaq Regained Its Dot-Com High
This is not the Nasdaq you once knew.
Fifteen years ago, at the height of the dot-com bubble, the tech industry barometer was the most spectacularly crazy part of an irrationally exuberant stock market.
Nasdaq Composite finally passes the 5,000 mark and approaches its 2000 peak, thanks to strength in five key, heavily-weighted companies: Apple, Netflix, Amazon and biotech firms Biogen Idec and Gilead Sciences.
These days, as the Nasdaq Composite Index once again flirts with record highs, it represents one of the more well grounded areas of a U.S. stock market that has spent the past few years busily exploring new frontiers in exuberance.
The Nasdaq index’s new sobriety reflects both the painful lessons of experience and the transformation of the technology sector from rebel outsider to establishment insider.