UPDATE ON TECH SECTOR, APPLE SHARES DOWN 4.1%

WOW.. this past week’s markets were INSANE!!

For those of you who read my previous post from Wednesday about how all is looking good for the technology sector, as anticipation of Apple’s new iPad spurred a rise in shares, ultimately lifting Nasdaq by about 2 percent…well perhaps I spoke too soon…

“Apple reported stellar earnings on Monday. It received upgrades from analysts on Tuesday; Goldman Sachs issued a price target of $230; Deutsche Bank set a target of $250; Barclays expects a $265 price; and Credit Suisse raised its target to $275.

From its Monday opening of $202, Apple surged in the next three days on its earnings and in anticipation of the iPad, trading as high as $213 on Tuesday and $209 on Wednesday before erasing the gains [Thursday].”  http://www.ibtimes.com/articles/20100128/nasdaq-plunges-as-tech-stocks-drop-on-earnings-and-lower-orders.htm

Apple dropped even further on Friday, with the markets closing at a share price of $192.06; down roughly 4%. (Google finance)

**Why the sudden drop???

According to an article in Friday’s WSJ, “the tech sector’s drop came as investors registered their disappointment with Apple’s iPad a day after the company unveiled the highly anticipated tablet device. Traders said there was too much hype ahead of the release and that the product doesn’t appear to be as much of a “game-changer” as investors has hoped. Shares fell $8.59, or 4.1%, to $199.29.”

http://online.wsj.com/article/SB10001424052748704194504575031640794027322.html?mod=WSJ_Stocks_LEFTTopNews 

 but on the upside… (and only to confuse you more, of course)… read Thursday’s article from the Int’l Business Times: “Wall Street calls iPad a ‘Grand Slam'” http://www.ibtimes.com/articles/20100128/wall-street-calls-ipadgrand-slam.htm

 

Hmm.. I guess we will just have to see what’s in store for us in the next couple of hours, when the markets open at 6 AM… stay tuned OIG! 🙂