Apple and other tech stocks rebound after Trump offers more tariffs guidance
On Monday, I saw a surge in stock prices for tech giants like Apple and Alphabet, along with other Silicon Valley companies, as they bounced back due to good news from the Trump administration. They’ve decided to exclude electronics, specifically semiconductors and smartphones, from the “reciprocal tariffs” that were initially announced earlier this month. As a film enthusiast who also enjoys dabbling in the stock market, it was encouraging to see the positive impact this decision had on these companies’ share prices!
However, the current positive trend might be temporary. Tech companies might still undergo significant transformations in their supply chain management and cost structures.
In simpler terms, Howard Lutnick, the Secretary of Commerce, informed ABC News that certain electronic goods may soon be subjected to tariffs within the semiconductor industry, possibly within the next few weeks or months.
On Monday, Apple’s stock climbed 2%, reaching $202.52 per share, marking an improvement after a significant drop following Trump’s announcement of reciprocal tariffs earlier this month. Additionally, the parent company of Google, Alphabet, and chip manufacturer AMD saw their shares increase by 1% on Monday as well.
Business
Tariffs imposed by the Trump government could cause substantial damage to Silicon Valley tech giants such as Apple, since a significant portion of their manufacturing is based in China, Vietnam, and India.
The value of Apple’s shares significantly dropped following Trump’s announcement about increased tariffs on China, Vietnam, and India on April 2nd. Although Trump has temporarily halted further tariffs on many nations, he has elevated customs duties on Chinese imports to a staggering 145%.
Lutnick expressed to ABC that it’s crucial for these items to be produced within the U.S., as we shouldn’t solely depend on Southeast Asia for our operational needs. His objective is to encourage these businesses to relocate a larger portion of their manufacturing facilities back to the United States.
Concern among investors grows as the ongoing dispute continues, given that both Apple and several other tech giants manufacture a significant portion of their goods in China. Despite recent efforts to expand manufacturing in India, Apple continues to produce the majority of its iPhones within mainland China.
Under increasing encouragement from the White House, both Apple and Nvidia have revealed their intentions to expand employment opportunities within the United States.
On Monday, Nvidia announced that they are collaborating with their partners to develop and trial Nvidia Blackwell processors in Arizona, as well as AI supercomputers in Texas. The manufacturing of these components is expected to increase significantly within the next 12-15 months.
In a statement, Nvidia CEO Jensen Huang expressed that expanding our manufacturing capabilities in America will enable us to more effectively address the escalating need for AI processors and supercomputers, enhance our supply chain’s robustness, and increase our resilience.
Nvidia’s stock price closed at $110.71 on Monday, virtually unchanged.
In February, Apple announced a commitment to invest approximately half a trillion dollars in the United States. This investment will be directed towards multiple initiatives, one of which involves setting up a new production facility in Houston.
Nonetheless, experts predict that it would be challenging to restore manufacturing jobs within the U.S., and reestablishing supply chains might require several years.
Business
Three CEOs – from Meta (formerly Facebook), Amazon, and OpenAI – are each contributing a million dollars to the inauguration fund of President-elect Donald Trump. Here’s what you should be aware of.
In summary, Daniel Ives, from Wedbush Securities, sees the recent increase in tariffs over the weekend as generally beneficial not just for Apple but also for other technology companies.
Read More
- Clash Royale Best Boss Bandit Champion decks
- Cookie Run: Kingdom Pure Vanilla Cookie (Compassionate) Guide: How to unlock, Best Toppings, and more
- FC Mobile 25 Hero Chronicles event Guide and Tips
- Death in Paradise star shares ‘unfortunate’ update about the beloved series
- MAFS Star Jamie Marinos Spills Secrets on Her Steamy Romance and Dinner Party Drama!
- ‘The Baldwins,’ Alec and Hilaria’s TLC show, addresses ‘Rust’ shooting and PTSD
- Lauren Hall’s Dramatic Transformation Shocks Married At First Sight Fans!
- Oscar-Nominated Fernanda Torres Makes First Public Appearance Since Blackface Apology
- Influencer Reveals How MAFS Giant Dave Hand Saved Her from Harassment in Shocking Street Encounter!
- Demi Moore shares Bruce Willis health update after dementia diagnosis
2025-04-15 02:01