“U.S. stock futures on Monday pointed to a lackluster session as a partial government shutdown stretched into a third day,” Victor Reklaitis reports for MarketWatch. “Strategists are saying shutdowns can weigh on the stock market, but they don’t tend to bring about heavy selling.”
“Dow Jones Industrial Average futures fell by 50 points, or 0.2%, to 25,996, while S&P 500 futures shed 1 point to 2,810. Nasdaq-100 futures was flat at 6,845,” Reklaitis reports. “On Friday, the S&P 500 and Nasdaq Composite scored all-time closing highs, while the Dow rose to within 0.2% of its record close that was achieved Wednesday. The three gauges have gained between 24% and 32% over the past 12 months, helped by an expanding U.S. economy, growth in corporate profits and enthusiasm over tax cuts for companies.”
“‘History says that investors have little to fear from government shutdowns, as four of the seven in the past 35 years were accompanied by price declines that averaged only 1.0% and required less than two weeks to get back to break even,’ said Sam Stovall, CFRA’s chief investment strategist, in a note late Sunday. ‘We think this shutdown will also be a non-event,'” Reklaitis reports. “Apple Inc.’s stock traded 0.8% lower in premarket trading. The dip comes amid fresh concerns about iPhone X sales, with the worries weighing on the Silicon Valley giant’s suppliers in Asia.”
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MacDailyNews Take: From what we can see, these “concerns” about iPhone X sales are based on specious evidence consisting of data from Apple suppliers.
Even if a particular data point were factual it would be impossible to accurately interpret the data point as to what it meant for our overall business… There is just an inordinate[ly] long list of things that would make any single data point not a great proxy for what’s going on. Apple CEO Tim Cook, January 23, 2013
Cramer: Ignore reports about Apple iPhone concerns from people who ‘don’t know anything’ – January 18, 2018
Apple stock slips as no-name analyst claims ‘lukewarm’ iPhone X demand – January 17, 2018
Reports of Apple cutting iPhone X orders make no sense – January 2, 2018
Apple stock tumbles on one poorly-sourced report of low iPhone X demand – December 26, 2017
Apple and suppliers shares drop on report of weak iPhone X demand – December 26, 2017