Dow 30: UnitedHealth replaces Kraft

The decision to add UnitedHealth and drop Kraft Foods on the Dow Jones Industrial Average was prompted by Kraft’s decision to spin off a part of its business, making the company too small to stay on the average. Kraft will be followed less by investors as a result says Richard Sylla, a historian at New York University Stern School of Business. UnitedHealth will no doubt receive extra attention that could bring a jump in stock price, Sylla says.