The other “FAANG” moniker that includes Apple have helped to fuel the decade-long bull run before a bevy of sell-offs in October, particularly within the technology sector, racked the capital markets. The volatility has racked investors’ nerves enough that any news from key government figures could trigger a sell-off.
“People are now starting to presume the worst,” said Cramer.
“We need to presume the worst out of anything from the White House or the Fed if we’re actually going to get an end to this bearish phase,” Cramer added.
Analysts are already forecasting that if a 10% tariff were to come into fruition, it would significantly impact Apple’s bottom line. Investment banking firm Baird calculated an impact of $0.25 to $0.30 to Apple’s earnings per share–numbers that would make the iPhone maker cringe.
“While we take the negative supply chain comments with the proverbial grain of salt, there’s little question that higher iPhone prices due to potential tariffs would likely negatively impact demand and profitability at some level,” said Baird analyst William Power.
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