Apple and Tesla Start Strong After Stock Splits... Dow Index Weakens

Apple Shows Declining Trend for 2 Weeks After Past Stock Splits

[Image source=AP Yonhap News]

[Asia Economy New York=Correspondent Baek Jong-min] Apple and Tesla started their first trading after stock splits on an upward trend.

On the 31st (local time) in the New York stock market, Apple executed a 4-for-1 stock split, and Tesla executed a 5-for-1 stock split before starting trading. As of 10:30 a.m., Apple was trading at $128, up 2.62%, and Tesla was trading at $464, up 4.97%.

CNBC reported that Apple had previously split its stock four times?7-for-1 in 2014, 2-for-1 in 2005, 2-for-1 in 2000, and 2-for-1 in 1997?but in the two weeks following each split, the stock price declined, with an average drop of 5.6%.

While the Nasdaq index is showing strength amid Apple's gains, the Dow Jones Industrial Average, where Apple's weighting has decreased, is currently declining.

Due to concerns over the reduced weighting of the information technology sector in the Dow index following Apple's stock split, from this day, major oil companies ExxonMobil, Pfizer, and Raytheon were removed from the index, and Salesforce.com, Amgen, and Honeywell were newly included.

Salesforce.com, which surged last week due to strong earnings, is currently down 0.83% after being added to the Dow index today.