Expect significant new tariffs on Chinese imports and moderate levies on goods from other nations , as President-elect Donald Trump rolls out his protectionist agenda. However, with his preference for chaotic policymaking and sudden shifts , there’s uncertainty on how soon these import taxes will actually hit. Dubbed “ Tariff Man ,” Trump aims to use tariffs both strategically and tactically . He’s mentioned taxing all Chinese goods up to 60% and potentially setting 10%-20% tariffs on imports globally , but details on these plans remain vague . Key players within Trump’s team are divided: Robert Lighthizer , a staunch tariff advocate, sees permanent duties as crucial to balance US trade , while others, like billionaires John Paulson and Scott Bessent , view tariffs as temporary leverage. Trump’s previous administration had mixed feelings, especially on national security-related trade limits , which he sometimes dismissed, favoring an “open for business” approach. High-profile busin
Despite a lukewarm response to the launch of the iPhone 16, Apple Inc. shares remain resilient, continuing a multi-month rally. The AI tools touted for the new iPhone won’t arrive until a software update in October, and analysts suggest that pre-orders and lead times have been cautious, dampening the most optimistic expectations for a significant upgrade cycle.
However, Apple stock has largely avoided the volatility seen by its Big Tech peers, with much of Wall Street still expecting the AI iPhones to eventually accelerate growth. Jack Ablin, chief investment officer at Cresset Wealth Advisors, acknowledged the weaker-than-expected iPhone launch but remains confident in the company's long-term prospects, citing its diverse revenue streams, predictable earnings, and massive cash flow.
This confidence has pushed Apple’s stock up nearly 40% since April, adding US$911 billion to its market cap, with the stock price just 3% below its all-time high. Investors view Apple as a safe haven, given its track record of steady earnings growth and its massive stock buybacks, with the largest in US history announced in May. Unlike other tech giants, Apple has refrained from heavy AI-related capital expenditures, which have raised concerns among investors.
Nevertheless, Apple’s stock is trading at 31 times estimated earnings, significantly above its 10-year average and the Nasdaq 100 Index. This high valuation makes the stock vulnerable if the much-anticipated upgrade cycle fails to materialize. Analysts have lowered their expectations for iPhone unit sales growth, with Morgan Stanley and Bloomberg Intelligence forecasting slower growth than initially predicted.
While the iPhone 16’s demand remains uncertain, investors are awaiting the rollout of the phone's AI tools, which could reignite interest in the product and drive future growth.
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