Premarket: Apple is red

apple premarket red 6-26From TheStreet’s “Dow Futures Slump Amid Record Rise in US Coronavirus Cases; Dollar Slides As Investors Look to Renewed Fed Support” posted early Friday:

U.S. equity futures traded lower Friday, contrasting solid gains in stock markets around the world, following data showing the biggest single-day increase in coronavirus cases on record and more signs that a second wave of the pandemic could shutter portions of the economy.

Reported U.S. coronavirus cases rose by just under 40,000 yesterday, the largest on record, lead by a surge in infections in various southern states as well as California and Arizona. The spike has also been followed by record rates of hospitalizations, with Texas record new daily highs for the past two weeks, a move significant enough for Governor Greg Abbott to suspend the state’s re-opening plans…

In California, Governor Gavin Newsom declared a budget emergency as the state grapples with a growing wave of new infections, while in Florida, tech giant Apple Inc.  said it was closing at least 14 stores in the state as cases and hospitalizations continue to rise…

U.S. equity futures, then, look set to open weaker against a backdrop of solid global gains, with contracts tied to the Dow Jones Industrial Average indicating a 170 point decline and those linked to the S&P 500, which has gained 1.3% so far this month, priced for a 12 point pullback.

My take: Apple store openings and closings have become a key economic indicator.

6 Comments

  1. Bart Yee said:
    Still ended higher than the Monday open of $353.00 or last Friday’s close of $349.72 so overall for the week treading water, but definitely showing AAPL pricing strength when things improve eventually.

    0
    June 26, 2020

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