Dow Drops as Investors Punish Apple Stock After iPhone 12 Unveil
The Dow Jones tumbled 150 points Tuesday.
Investors flinched as stimulus talks struggle, and Johnson & Johnson suspended its vaccine trial.
Apple stock dropped 3% despite unveiling its new 5G iPhone 12.
A risk-off note struck the Dow Jones on Tuesday, as investors flinched after Johnson & Johnson suspended its vaccine trial, and stimulus talks once again look deadlocked. Apple stock also swooned after investors reacted poorly to the 5G iPhone 12 launch.
Dow Jones Slips as Risk Sentiment Sours
Among the major U.S. stock market indices, the Nasdaq edged up slightly, while the Dow Jones and S&P 500 tumbled 0.3%.
With Republicans forcing through a Supreme Court nomination, they are unlikely to draw much goodwill from Democrats. Donald Trump’s erratic take on stimulus continues, as his initial order to halt talks contrasted with his recent comments, culminating in the following tweet today:
In a comment to CCN.com, Chris Beauchamp, Chief Market Analyst at IG, noted that stocks appear less sensitive to vaccine headlines than they once did:
The news that Johnson & Johnson has paused its vaccine trial has not gone entirely unnoticed, but the market has learned to live with the ups and downs of product development over the past few months, with the reaction to this kind of news much more muted than during the summer.
With plenty of companies in the race, Dow bulls might become more concerned if other leading vaccine candidates also report issues.
Dow 30 Stocks: Apple Unveils 5G iPhone 12, Disney Roars on Restructuring
On a very mixed day for the Dow 30, there were some big winners and losers. Disney stock surged 3% as investors cheered the company’s plans to go all-in on its streaming businesses. The company’s restructuring will bolster the company’s Disney+ service, and Wall Street looks to be very happy.
Apple stock fell 3%, getting little support from its 5G iPhone unveiling, likely because it has been anticipated for some time.
Watch the video below to see the unveiling of the iPhone 12: