U.S. Gas Price, Unemployment and Dow Jones Index Correlation
Is there any correlation among average U.S. Gas Price / Gallon, Unemployment rate and Down Jones Index? Shown above are the averages from the year 2000 until now. There are some trends looking back... every time Unemployment rate begins creeping up, Dow Jones Index falls. One telling trend was back in 2008, when the average gas price per gallon rose to $3.21, unemployment rate shot up to 5.80 million and Dow Jones Index began its slide to 11,220 points after peaking the previous year.
Current unemployment rate is around 8.30 million and dropping, which is a marked improvement from 2011. Dow Jones Index has increased simultaneously to an average of 12,810 points. However, the average gas price per gallon has also shot up to $3.38.
Would the rise in gas price continue? If it does, what impact would it have on the unemployment and Dow Jones Index?
