Every year in early autumn Apple holds its event where it presents new iPhones, Apple Watches, and iPads. This year wasn’t an exclusion. But yesterday’s presentation didn’t result in Apple stock growth, and here’s why.
American futures inch down
On Tuesday, American futures declined by 1% because a technology rout in the previous trading marathon provoked by fears over iPhone sales affected investors' appetite for high-surge companies.
The equities of Apple Inc went down by 1.4%, making their way for their seventh dive for the last nine trading sessions, losing nearly 20% from a maximum earlier in 2018, which valued it at over $1 trillion.
Indications of decelerating demand for the company's flagship iPhones definitely have wide-ranging implications for Internet and tech firms at a time when investors are worrying over soaring corporate earnings surge, soaring borrowing costs, to say nothing of a global economy suppressed by trade clashes.
As for the FANG group of high-growth technology-focused equities, they kept losing steam.
In addition to this, Amazon, Facebook Inc, and Netflix Inc all dived 1.5%-2.01%.
Besides this, chipmakers Advanced Micro Devices Inc as well as Micron Technology Inc both declined over 3%. Nvidia Corp and Intel Corp dipped by respectively 2.3% and 0.5%.
With all three key indices staying below their 100- as well as 200-days moving averages and also all the FAANG stocks in bear territory, a solid shift in fundamentals is required to regain confidence.
The Dow e-minis 1YMc1 headed south by 0.5%. Moreover, the S&P 500 e-minis slumped by 0.55%, while Nasdaq 100 e-minis decreased by 0.95%.
Remarks by New York Federal Reserve President John Williams that the Federal Reserve is currently pushing ahead with gradual rate-lift plans in December as it’s trying to stick with a more normal monetary policy.
In addition to this, Target Corp sank by 5.9% having reported lower than anticipated third-quarter revenue. Furthermore, the equities of home improvement chain Lowe's slipped by 5% after it uncovered more restructuring plans against the backdrop of worse than anticipated comparable sales outcomes.
Richard Branson offloaded nearly 10 million shares, which equals about 4% of the Virgin Galactic stock, leaving him with an 18% stake.
Today at 00:00 GMT+3 SPCE will present the second quarter 2021 financial results. We will get to know everything about the company's financial condition and plans.
As Europe moves into recession, next week may provide us with some amazing trading opportunities. Here they are!
Main news that will drive the market in the upcoming week include CB Consumer Confidence Index, Canadian GDP, and US Core PCE Price Index
The Federal Reserve (Fed) will announce its Interest Rate Decision and make a statement about the future monetary policy on Wednesday, September 21, GMT+3. After the higher-than-expected inflation numbers published on September 13, there’s almost no doubt the Federal Reserve will come up with another 75-basis-point rate hike. However, surprised by the CPI numbers, several Fed members announced the possibility of a 100-basis-point rate hike on Wednesday.