Apple Stock News

Stocks Gain as Powell Nixes Rate Hikes

Powell's Hawkish Stance Shifts

Federal Reserve Chairman Jerome Powell hinted at a pause in rate hikes in a speech on Wednesday, saying that the central bank would take a "patient" approach to monetary policy. This sent stocks soaring, with the Dow Jones Industrial Average gaining over 300 points and the Nasdaq Composite rising by nearly 2%.

Tech Stocks Lead Gains

The tech sector led the rally, with Apple Inc. (AAPL) rising by over 5%. The iPhone maker has been under pressure in recent months due to concerns about slowing growth in China, but Powell's comments seemed to ease those fears. Other tech stocks, such as Amazon.com Inc. (AMZN) and Alphabet Inc. (GOOGL), also saw gains.

Apple's Future Brightens

Powell's comments could be a boon for Apple, which has been facing headwinds in recent months. The company is expected to report its fiscal first-quarter earnings next week, and investors will be looking for signs of improvement in the company's iPhone sales. The pause in rate hikes could provide a tailwind for Apple, as lower interest rates make it cheaper for consumers to purchase big-ticket items like iPhones.

Conclusion

Powell's shift in stance is a positive sign for stocks, and Apple in particular. The tech giant has been under pressure lately, but Powell's comments could provide some much-needed relief. Investors will be looking for signs of improvement in Apple's iPhone sales when the company reports its earnings next week, and Powell's comments could provide a tailwind for the stock.