Premarket: Apple is red

apple premarket red 10-15From Bloomberg’s “Stocks Tumble on Earnings, Virus-Clampdown Fears” posted early Thursday:

Stocks tumbled in Europe amid earnings disappointments and clampdowns by some of the region’s largest cities to curb the virus. U.S. futures slid on wilting prospects for new stimulus from Washington before the November election.

The dollar rose with Treasuries as a risk-off mood took hold. Paris is set for a curfew and Londoners will be banned from mixing with other households indoors beginning this weekend, as leaders struggle to cope with record new cases around the region… Index futures were signaling U.S. equities may fall for a third session unless earnings from Morgan Stanley and Charles Schwab later on Thursday manage to spark some optimism.

Investors are coming to terms with virus flare-ups that are triggering tighter restrictions, just as stalled talks on U.S. stimulus and Britain’s messy exit from Europe weigh on risk appetite. U.S. jobless data in several hours may only add to the gloom, according to strategists at Mizuho International Plc including Peter Chatwell.

“Data today is expected to confirm U.S. economic sentiment is deteriorating, U.S. fiscal stimulus remains some way off, and a hard Brexit” is possible, Chatwell and his colleagues wrote in a note.

In an extraordinary step taking effect Saturday, French President Emmanuel Macron will confine residents of nine of the country’s biggest cities to their homes between 9 p.m. and 6 a.m. for four weeks.

My take: This looks ugly.

6 Comments

  1. Gregg Thurman said:
    Headlines regarding market moves never seems to amaze

    This morning the market is down because…. later today it will be up because…

    I recently subscribed to https://www.morningbrew.com/ for all my news. Just the facts ma’am.

    My ex introduced me to it. Love it

    1
    October 15, 2020
  2. Bart Yee said:
    A point about the new all-OLED iPhone 12’s. Remember Apple having to pay Samsung Display in July 2020 almost $1B ($950M) in penalty fees because it didn’t buy enough OLED screens during last year’s iPhone 11 contract? I think Apple decided it was going to put that kind of money to better use and use OLEDs decidedly in its premium models. The cost effective LCD displays will live on in the iPhone SE, XR, and last year’s best selling iPhone 11. These three models will form the lower end of Apple’s offerings in price sensitive markets, trickling down previous tech (especially A12 and A13 processors) which is still marketplace competitive.

    More importantly, they provide attractive entry points into Apple’s iOS ecosystem, expanding other hardware and software purchase opportunities.

    0
    October 15, 2020
  3. Bart Yee said:
    Also of note is Apple Store app is listing a bunch of refurbished phones (likely from recent trade ins and trade ins to come) ranging from
    iPhone X (64gb $549, 256gb $679)
    iPhone XS (64gb $639, 256gb $759, 512gb $929)
    iPhone XS Max (64gB $719, 256gb $849, 512gb $1019)

    This spans the same range as NOS iPhone XR and 11 all the way to iPhone 12 Pro while allowing some excellent values for XS Max models for those who want largest versions. The beauty is Apple doesn’t spend too much for these refurbished models and gets to resell them again, re-expanding the user base.

    I suspect all the trade in Android phones are harvested for their materials and retired due to their low resale values and not wanting more Androids out there.

    3
    October 15, 2020

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