“Apple shares fell in Tuesday’s premarket, a day after President Donald Trump suggested the U.S. could place a 10 percent tariff on iPhones and laptops made in China,” Michael Sheetz reports for CNBC. “Trump told The Wall Street Journal that ‘people could stand’ that tariff rate ‘very easily.'”
“Apple shares, which are already down 20 percent this month, fell by 1.8 percent in premarket trading Tuesday,” Sheetz reports. “Trump also said it is “highly unlikely” he would delay an increase in overall tariffs at the beginning of next year to 25 percent from 10 percent. Trump is scheduled to meet with Chinese President Xi Jinping in three days at the G-20 summit.”
“Apple’s products are exempt from the tariffs, but that could change when Trump adds another $267 billion worth of tariffs on Chinese goods,” Sheetz reports. “If Trump continues to raise tariffs on Chinese goods, [Bernstein analyst Tony] Sacconaghi said, the biggest question is ‘how is China going to respond? Could they try to disrupt Apple’s supply chain in some way? Could they not authorize new phones for sale in the country? There are many things that China could do and that could ultimately be even more devastating,’ Sacconaghi said.”
Read more in the full article here.
MacDailyNews Take: Bargaining chips are being laid on the table ahead of the G-20.
What do we see ahead? A very rare – perhaps once in a lifetime – buying opportunity in AAPL.
Did Samsung make a generous offer for Trump Tower? No extra tariffs on Korea.
Rout is the correct word to use. The wholesale, relentless liquidation of Apple continues. 8 million shares, (8,000,000!!!) traded on the opening bell, with the result being a 2% instant drop in price. Sellers far out weigh buyers.
No one is looking for a deal with Apple.
Large holders want out.
Large holders see no reason to hold Apple stock.
Pipeline gives them no reason to hold.
Trump gives them no reason to hold.
The result? 22% drop in stock price.
And still dropping.
People said the drop from $232 to $220 was a great chance to buy on the dip.
Folks said that the drop from $220 to $210 was a once-in-a-lifetime deal to buy Apple stock.
People said back up the truck and buy a boatload on the drop from $210 to $200.
Do you see a trend?
Folks still thought the drop from $200 to $190 was an amazing deal and said buy, buy, buy!
This is a rout folks.
We are at $172 and STILL dropping.
Lot of bag holders here.
Imagine that…people now have to bag hold Apple.
Incredible.
That’s what feckless leadership brings.
Bagholders.
Pipeline has his yes men sycophants at his ready to slap his back and say all is well.
MDN has its fan boys doing the same thing.
All is well.
Tomorrow we’ll quite possibly see less than $170/share.
Buy, buy, buy.
Large holders want out right now because they are concerned about shorter term results. We have seen this with AAPL before, and for portfolio managers that are measured quarter to quarter, they can’t afford to sit on a stock where they don’t see an upside for the next year or so. These kinds of movements are pretty much the only time individual investors have an advantage over the institutions, where long term objectives win out.
You are extremely long-winded, Von Tink. You used a lot of words, but fail to say much of any value. Repetition is not a virtue.
You do realize that investment companies window dress at the end of each calendar year so that they can claim to be holding the “winners,” even if they just bought them a couple of weeks before the turn of the year. In this case, they are bailing on Apple early.
Look, I don’t like the drop. But I am not panicking and calling people names like you, Von Tink. Most people are a bit more mature than you. So go cry somewhere else.
So you have a problem with long-winded IVT. Yet nothing but effusive praise for your buddy the king of long-winded tedious posts TxUSER. No one can accuse you of being fair and honest.
Repetition is the tool of the political trade.
Repetition is the tool of the advertising trade.
Repetition is the tool of the salesman trade.
Repetition is the tool of good parenting.
Repetition is the tool of the Apple defensive fanboys and many other trades.
“Virtue” has nothing to do with it.
That said, Von lists the many problems Cook in some cases has introduced and in others totally ignored. I for one hope he keeps it up until a more competent CEO that listens to customers is in his place…
GoeB: unlike you, Mr. Tribalism, most people are capable of treating individuals with unique respect. You have worn out your welcome because unlike IVT and TX User and Mel, etc, ALL OF YOUR POSTS are political and insulting. Others reserve their personal criticisms for when they are warranted, and even then THEY ADDRESS THE PERSON WITH WHOM THE DISAGREEMENT ORIGINATED.
Stop the stupid label pasting, wrongly tossing people into categories so you can continue your juvenile “US versus THEM” games.
Leave it to an idiot like Trump to jeopardize one of America’s largest and most iconic companies. He did something similar to Harley Davidson and look where that got us…
Trump knows how to bluster and bully, and boast about his business acumen, but his five bankruptcies should tell you something about his lack of knowledge. There is a reason Las Vegas wouldn’t let him open a casino there, and why his casinos in Atlantic City failed. I mean how do you lost money running a casino? But thank god for Russia and Russian money…
He said that trade wars were good and easy to win? it’s easy to win when dealing with some small company that you fail to pay, but when the entity on the opposite side of the table is China, or the European Union you are only screwing yourself and tens of thousands of American workers. Food rotting in the fields? companies that rely on importing metal from China? And he picks a fight with Canada? Continuing to support oil and coal, both contributing to global warming, when the future is so clearly wind and solar (both of which are clean sources of energy which will never be depleted, and which are growing at a much faster rate than oil and coal, and whose costs are dropping dramatically).
But Trump will continue to pander to his base to make himself look like some brilliant leader—following in the footsteps of Putin, Kim Jong Il, and other dictators—when in fact he knows nothing about politics or business other than how to bully, a strategy he uses, and will use at America’s peril.
Another Mike screed anti-Trump clone spewing more volumes of fiction, opinion, conflation and loose on the facts…
Trump as dump as they come a true Pinkerton.
Mark is on the mark! Look – the big three auto companies all warned Trump about the consequences of steel tariffs making their vehicles less competitive. But Trump doesn’t listen and doesn’t get it.
Trump’s administration (extremely little of it had to do directly with him) was able to get truly minor concessions out of Canada and Mexico during the recent, small trade spat because both Canada and Mexico care about two things: 1) how they look on the international stage and 2) the quality of life for their people. (Yes, both are true for Mexico even though very many people in the U.S. don’t think so.)
There is a difference with China. China cares virtually nothing for either of those two things. Getting into a trade war with China is idiotic. China would rather take it’s general, working poor population back to the stone age than lose a trade ware with the U.S. (Their state run high tech and research agencies are not dependent on anything from the U.S.)
The Trump administration could slap 100% tariffs on many goods entering the U.S. from China and the Chinese government would barely care. So what if 10 million working poor in China are suddenly out of jobs because the goods they used to produce are not selling due to outrageously high prices in the U.S. In the minds of the Chinese government officials those people can easily be conscripted to mine rare earth elements (for high tech products) or build damns or build military equipment.
Trump needs to do something different with China. Long term negotiations with the DIRECT support of other nations will get a much better long term deal on trade than a quick trade war with China.
Another utterly predictable rabid #irony_free post by Slavish Sycophant Lapdog GoeB, firing off in all directions and not hitting anything….you’re replying to Mark…so who is Mike?
Of course you’re so easy to get a rise out of because you seem to have perpetual verbal diarrhea. But you’ll never get a clue….
…so job successfully done Mark I would say, not withstanding that your post was spot on anyway.
Whoooo doggie! The Left has its panties in a bunch today. I’ll just kick back and enjoy the histrionic show…
@ Goeb
Mark and Mike are different people. You may have to improve your reading comprehension to spot the difference. Instead you chose to out yourself as a belligerent blowhard. Hurray for you, trumpanzee.
“Another Mike screed anti-Trump clone”
Reading comprehension problem?!? ROTFL! You need to look up the definitions of “Another” and “clone”…
Read and get a clue Goeb:
https://www.businessinsider.com/why-trumps-views-on-the-us-auto-industry-are-childish-2018-11
So your response is a deflection link?!? No admission of your boneheaded mistake? Not a surprise from know-it-all egos the size of yours…
No deflection here. The article link is about trade, specifically trade with China and why the Trump administration is going about it all wrong. Auto and electronics trade with China has many important similarities — not the least of which is that a growing percentage of auto components are electronic. Even slow-ass Apple finally decided to become an automotive supplier with its surprisingly weak CarPlay offering. But we digress. Are you mature enough to read the article or would counterpoint hurt your rethuglican pride too much?
No bone-headed mistake was made. As I pointed out above, I treat people like individuals. You attempt to paste labels. Your underhanded attack on me was done by labeling Mark, a completely different person who you don’t know, as my “clone”. That is juvenile to the extreme. It demonstrates only that you don’t have the ability to exercise your ideal of libertarian rugged individualism. You rally your tribe against boogiemen of your own imagination.
Don’t worry, Goeb, everyone can see you are dizzy from all your useless shadow boxing.
Too bad there’s no way to give a 6-star rating to your post!
👍👍
I think bankruptcy laws have to be changed so that if you are able to ‘get back on your feet’ after one, you should be required to pay back what you owe from any income that puts you above a mid-class level income.
Indeed!
“‘how is China going to respond? Could they try to disrupt Apple’s supply chain in some way? ”
so China is going to hurt USA by hurting Apple
because USA is going to hurt China by hurting Apple.
?
An avalanche bad news for Apple hitting left to right. So depression, but Apple’s investors will stay the course, We’ve been through turbulences many times. This is a buying opportunity. Ultimately, the numbers will be there and the stock will recover.
Apple stock will recover after Trump is voted out of office in 2020 you mean.
2024 you mean?
There is no 2024.
Exactly right! Particularly acute now that the Dems are hurting the blue wave never materialized. It is really amazing and credit to the president for enduring two years of daily 92% negative media coverage and two years of the Mueller investigation cloud and amazingly scored a historic gain in the Senate. Won most other major races, as well. What you will never hear from the Dems since 2008 have lost over 1,200 seats. Congrats they took back 50 or more, but they have a long way to go…
Goeb: you are in denial. The Dumbocrats are right on historical averages for taking back house seats from unpopular presidents of the other tribe.
https://news.gallup.com/poll/242093/midterm-seat-loss-averages-unpopular-presidents.aspx
For your information, one of the all time great presidents, republican Eisenhower, who held a strong favorable rating of 57% voter approval at his 1958 midterms, presided over a 47 seat loss in the house that year for his party. Sometimes partisan political games are just going to lead you off point. You might want to look at the issues instead of blind partisan label pasting.
Also, media coverage of Trump is not negative for any other reason than the reality that Trump himself is negative to the extreme. Media coverage accurately illustrates bitter whiny Trump in his element. When a reporter asks hard questions at a news conference, doing his job, Trump spends several minutes acting like a petulant brat, in a completely unprofessional manner. When you analyze his tweets, the majority are wholly untrue or significantly out of context. The lie counter on Trump is off the charts, unprecedented for the supposed leader of the free world who should have ample intelligence services to keep him correctly informed with verifiable facts. Instead he tweets stupid xenophobic rants such as lies that the central American refugee caravan contains mid-east terrorists who are out to kill Americans. It takes about 2 minutes to debunk that childish fear mongering – there are journalists with video on the caravan 24/7.
It is very much the job of the press to call out lies when they are made. Too bad you can’t stand it when your hero lies incessantly. The “bad news” is all his making.
Now about you going off topic to inject the Faux News scripted attacks on Mueller: Stop already. The man was given a job to do, and he will do it correctly. It takes several years for major court cases to be conducted, this investigation is no different. Especially when the witnesses from Trump’s business associates are so blatantly corrupt that they now admit that they lied to Congress. Without evidence to clear Trump of wrongdoing, you demand the investigation be stopped. Well there’s a lot of smoke trying to cover up what really happened. Did you know that Kushner took a phone call in the Trump Tower immediately after the meeting with Russian officials? Who do you think he was talking to? Oh you don’t want to know, it might look bad. Okay. Keep your delusions Goeb. If going through life as a blind stupid corrrupt republican stooge is your idea of honorable, then keep up your act. Most Americans want justice instead of corrupt partisan swamp deals.
As far was all the supply chain news regarding Apple production cuts, I think a lot of it may be related to tariff uncertainty for Apple. They may be planning on holding off on imports after Jan 1, not knowing if the tariff will be in place or not. They may be planning on drawing down channel inventory and only bringing in just enough to meet demand after that until the picture is clearer. I say this because that is what my company and our customers are doing right now, as a lot of items are already on the 10% tariff list and are threatened with 25%. Nobody is bringing in ANYTHING beyond what they need for immediate production, because nobody wants to be stuck with overpriced inventory of they bring in product under the duty and then have a deal made between Trump and the Chinese where the tariff then goes away. Just something to think about.
The supply falsehoods have been around for the last 10 years. And they will continue.
I don’t know about the rest of you but all this WINNING is wearing me out.
The Donald warned us we would get tired of all the winning, and boy was he right! Please, Mr. President, stop all the winning. It’s hard to take.
The only WIND is out the backside and front side.
Trump … is a looser, and a con artist, , i suspect he will have people buying Apple shares on the back of his comment today !!
Funny how an on topic post is removed but I’m not surprised seeing how the site is devolving to be a bully platform.
Again, my post contained a comment that one should not worry, cause someone said that trade wars are easy to win. Perhaps some are not aware that it was the president of Apple’s home nation so I’ll quote.
“When a country (USA) is losing many billions of dollars on trade with virtually every country it does business with, trade wars are good, and easy to win. Example, when we are down $100 billion with a certain country and they get cute, don’t trade anymore-we win big. It’s easy!
— Donald J. Trump (@realDonaldTrump) March 2, 2018”
I also reinforced the point on how good this assessment is in light of that other magnificent to the UN message that there is a weapons of mass destruction program in Iraq.
These are facts MDN, not an excuse to remove someone’s post in a feeble attempt to stifle their freedom of speech.
“weapons of mass destruction program in Iraq.”…
“weapons of mass destruction program in Iraq.”…
“weapons of mass destruction program in Iraq.”…
“weapons of mass destruction program in Iraq.”…
“weapons of mass destruction program in Iraq.”…
Time to pull the power cord on the skipping record player…
China can well retaliate and their best avenue is in food. Remember the Soy Bean FUBAR? US farmers hit very hard and China moves to other countries. One huge problem is that when China sets up other avenues it is going to be very difficult for US farmers to get those customers back after Trump pulls his head out and ends his dump tariffs. Just like it is going to be very difficult to get GM to reopen those plants they have announced they are closing.
As for Apple’s stock pricing there should be no problem with the stock taking a hit – and it may be an indicator of the market in general. Remember the last time we had GOP President who delivered big tax cuts? It was called The Great Recession and W didn’t have the ignorant tariffs to increase the economic burden.
Senile Blowhard will never pull his head out of his ass… will never admit he was wrong on anything that matters.
China cheats on trade. China steals intellectual property. China forces companies to divulge trade secrets. We FINALLY have someone with balls enough to try and do something about those bastards and all you folks want to do is bitch about Trump being dumb or something… So we are just supposed to keep the status quo forever??? China is cheating and kicking our asses… Piss on that.
Hey Phil: how about fining China through the wto for trade violations and ip theft? How about the US leads on creating international standards that solve these issues????
Placing unilateral taxes on imports without regard to the wrongdoing you cite is like trying to filet a fish with a chainsaw. All the little prince is doing is picking winners and losers based on loyalty to him. Typical of a tin pot dictator only perhaps more stupid since he can’t even explain the rationale. It’s like Trump really just wants to see American companies grovel for exemptions to his arbitrary bullshit trade restrictions. There is no consistency.
In the end, Trump will accelerate USA’s economic decline as the mountain of debt swallows up the federal budget and US companies shutter factories.
Tariffs are direct taxes on US consumers. Period. It won’t bother China, they will simply increase sales to the other 95% of the world population.
Well said, Phil. Yes, it is truly amazing the Dems STILL cannot accept the results of the election and fail to see the improvements president is trying to accomplish and has accomplished. Not one particle of credit or support, how very childish. Unfortunately, they are also blind to the Dem presidents folly going back to Clinton who only contributed to the trade deficit. So yes, they are highly defensive of the “status quo” their party had a major hand in and are experts at the blame game. President Trump can turn on a dime, so it is too early for anyone to predict any kind of outcome. Fingers crossed…
Goeb displays his bipolar disorder again….