Apple’s stock surged over 15% in Wednesday regular trading following President Trump’s announcement of a 90-day pause of his administration’s reciprocal tariffs. This marked the company’s strongest single-day performance since January 1998, a time when Steve Jobs, the late founder, served as interim CEO, and three years prior to the debut of the first iPod.
The rally added over $400 billion to Apple’s market cap, which now stands just shy of $3 trillion.
Kif Leswing for CNBC:
Before Wednesday, it was on its worst four-day trading stretch since 2000. Investors worried about Apple’s outlook because the company still makes the majority of its revenue from selling physical devices, which need to be imported into the U.S.
Most of Apple’s iPhones and other hardware products are still made in China, which was not exempted from tariffs on Wednesday. In fact, Trump increased tariffs on China to 125% on Wednesday, up from 54%.
On Wednesday, tariffs on Vietnam were reduced from 46% to 10%, and tariffs on India were cut 26% to 10%, which raises the possibility that Apple will be able to serve a large percentage of its U.S. customers from factories outside of China with lower tariffs.
Stocks skyrocketed across the board on Wednesday after Trump announced the tariff pause. The Nasdaq Composite climbed over 12%, its second-best day ever.
MacDailyNews Take: On January 2, 1998, four days before Macworld Expo kicked off in San Francisco, Apple shares opened at a split-adjusted $0.12 and rocketed up 3-cents to close at $0.15, a gain of over 22%.
Apple shares today rose $26.43, or 15.33%, to close at $198.85.
Congrats to whichever lucky bastage got in yesterday at $169.21!
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