Apple Shares Face More Pain as Trump’s Tariff Threat Looms

Apple Shares Face More Pain as Trump’s Tariff Threat Looms

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For your information, you can find below the description of the video Apple Shares Face More Pain as Trump’s Tariff Threat Looms published by the Youtube channel Bloomberg Television:

Apple Inc. shares are coming off their longest selloff in more than three years, as escalating attacks from the White House threaten to further erode the company’s profit outlook, suggesting the stock’s struggles this year are far from over.   
President Donald Trump on Friday threatened to levy a 25% tariff on the company’s products if it doesn’t shift iPhone production to the US. Shares fell 3% to end the week, their eighth straight negative session, the longest such selloff since January 2022. The stock rose 1.7% on Tuesday.
Some analysts are skeptical that the tariffs will come to pass, but any movement in this direction will put the company in a position where it either has to absorb the higher costs, weighing on its earnings and margins, or pass along higher prices to consumers, which could erode demand at a time when Apple is already struggling with tepid growth and difficulties with its artificial intelligence offerings.
“The threat may be politically motivated but markets can’t ignore the headline risk,” said Haris Khurshid, chief investment officer at Karobaar Capital. “This kind of tariff rhetoric, even if it never materializes, chips away at investor confidence. You can’t run a $3 trillion company with a trade grenade hanging overhead.”
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