Apple registers record $191bn market value surge in single day
What's the story
As tech companies around the world crumble under the weight of a slowing economy, there is one tech giant that is still standing tall - Apple. On Thursday, it hit another valuation milestone. According to Bloomberg, the company's market value increased by a whopping $190.9 billion in a single day. It is the biggest ever single-day gain for a US-listed company.
Context
Why does this story matter?
In a major boost to the tech industry and economy as a whole, the Dow Jones Industrial Average and the S&P 500 made their biggest jumps in a long time on Thursday. Tech stocks, including Apple, Microsoft, Alphabet, Amazon, and Meta saw their shares taking a leap. It was a much-needed boost for the industry that has been hampered by economic woes.
Market cap
Apple's single-day surge eclipsed Amazon's record
On Thursday, Apple's market capitalization rose by $190.9 billion, beating the previous record held by Amazon. In February, Amazon's market cap saw a jump worth $190.8 billion. The record-breaking single-day surge took the Cupertino-based tech giant's market capitalization to $2.34 trillion. It remains the world's most valuable company ahead of Saudi Aramco ($2.002 trillion) and rival Microsoft ($1.8 trillion).
Reason
Inflation in the US cooled down in October: Data
Apple's record-breaking growth in market cap was aided by data that showed that inflation has cooled down in the US. The Consumer Price Index (CPI) increased 7.7% year-over-year in October compared to the predicted 8.0%. This is the smallest rise since January 2022. The data gave hope to investors that the Federal Reserve would now slow down its pace of interest hikes.
Apple v/s rivals
Apple has constantly been better than its rivals this year
Apple has continuously outperformed its big tech rivals this year. On November 3, the company's market capitalization was more than the combined value of Alphabet, Amazon, and Meta. The iPhone maker has also been producing better-than-expected quarterly results. In comparison, other tech giants have seen a downturn in their fortunes this year. However, Apple's stock is still down 17% this year.