The Money Wise guys kick off the newest episode with an update on the recent performance of major stock indices. The Dow Jones Industrial Average saw an increase of 436 points or 1.1%, the S&P 500 was up by 28 points or 0.5%, and the NASDAQ experienced a rise of 228 points or 1.4%. Year-to-date figures show the Dow up by 2.6%, the S&P 500 by 7.5%, and the NASDAQ by 7.6%. A significant portion of the early discussion focuses on Apple, highlighting its announcement of what might be the largest stock buyback in the history of capitalism, totaling over $100 billion. This move significantly influenced the market, particularly on Friday, helping to mitigate the negative impact of potentially disappointing upcoming earnings. The Money Wise guys speculate that the timing of the announcement could be strategic, possibly to counterbalance expected underwhelming news from the upcoming Apple event on May 7th, which is anticipated to focus on AI and new products. They also discuss the latest U.S. employment numbers, which came in softer than expected, contributing to the market’s positive response as often "bad news is good news" for market dynamics, along with other topics.
The Future of Apple
This week’s episode touches on Apple’s ongoing shift in focus towards establishing a stronger presence in India, where there is significant potential due to the growing middle and upper-middle classes. The Money Wise guys point out that Apple is not only expanding manufacturing facilities in India to diversify its production beyond China but also tailoring products like iPhones to fit India’s current telecommunications infrastructure, which primarily supports 4G. By offering more affordable technology suitable for the local market, Apple aims to tap into a vast customer base in a country with over a billion people, marking a critical step in its global strategy. This move is seen as a major future growth driver for Apple, leveraging India’s burgeoning tech adoption rates.
In the second hour today, the Money Wise guys discuss RIA vs. Broker. You don’t want to miss the details! Tune in for the full discussion on your favorite podcast provider or at davidsoncap.com, where you can also learn more about the Money Wise guys or take advantage of a portfolio review and analysis with Davidson Capital Management.
