Tech stocks rebound after Trump gives more tariffs guidance
Apple, Alphabet’s shares and other Silicon Valley technological companies rebounded on Monday after the Trump administration said that electronics, including semiconductors and smartphones, was exempt from “reciprocal prices” announced earlier this month.
But the rebound may not last. Technology giants could always face drastic changes in the way they manage their supply chain and costs.
Commerce Secretary Howard Lutnick told ABC News on Sunday that these electronic products would be part of the prices affecting the semiconductor sector “that arrive”, potentially in a month or two.
Apple shares increased by $ 2% to $ 202.52 per share on Monday, an increase in the sharp drop in action after Trump announced reciprocal rates earlier this month. The mother company of Google Alphabet and the manufacturer of AMD chips also obtained a stay, their share of equity up 1% on Monday.
Apple Stock dropped after Trump announced additional prices on China, Vietnam and India on April 2. Trump has since interrupted additional prices on most countries, but has increased his rights to Chinese imports to 145%.
“We must have these things in America achieve, we cannot depend on Southeast Asia for all the things that operate for us,” said Lodnick in ABC, adding that the objective is that companies bring more their manufacture in the United States.
Climbing conflicts has worried investors because Apple and other technological companies produce many products in China. Although it has moved more production in India in recent years, Apple still manufactures most of its iPhones in continental China.
In the middle of more pressure from the White House, Apple and Nvidia have announced plans to bring more jobs to the United States
NVIDIA said on Monday that he was working with his partners to build and test Nvidia Blackwell Chips in Arizona and AI supercomputers in Texas, with production in the next 12 to 15 months.
“The addition of American manufacturing helps us to better meet the incredible and growing demand for ia fleas and superordinators, strengthens our supply chain and increases our resilience,” said Jensen Huang, CEO of Nvidia, in a press release.
Nvidia’s stock price closed $ 110.71 on Monday, almost unchanged.
Apple in February said that it would invest $ 500 billion in the United States that would go to various efforts, including the opening of a manufacturing plant in Houston.
However, analysts say it will be difficult to bring back manufacturing jobs to the United States and that the reconstruction of supply chains could take years.
“Overall, we consider the dizzying news of the weekend price as a net of step forward for Apple as well as other technological names,” wrote Daniel Ives, managing director of Wedbush Securities.
