What happened: Apple (AAPL) stock was on pace for a record close on Wednesday, up nearly 2% to just under $300 per share as tech stocks rebounded from a selloff the previous day.
What’s behind the move: Shares have been rising alongside some other Magnificent 7 names in recent weeks as the AI trade resurges
Apple stock jumped after its most recent quarterly results released earlier this month as the company topped estimates on iPhone and China sales. Shares have gained more than 20% since the March 30 market lows. What else you need to know: Apple stock has been punished by investors in part because it has been slower to invest in AI compared to other hyperscalers.
As Jared Blikre wrote last week: The stock had lagged other megacap winners for much of the bull market that began off the October 2022 lows. But its breakout helps make the Magnificent Seven move [higher] look less dependent on the other rebound leaders — Alphabet, Amazon, and Nvidia. Wednesday’s market action comes as as CEO Tim Cook travels to China with President Trump’s delegation for a summit with Chinese leader Xi Jinping.