Apple CEO Tim Cook stunned the tech world yesterday by unveiling the highly anticipated iPhone 15 Pro at a launch event held at the company’s headquarters in Cupertino, California. The new flagship smartphone boasts a range of innovative features and upgrades, leaving Apple enthusiasts eager to get their hands on the latest device.
Meanwhile, stock futures took a slight dip as investors reacted to the Federal Reserve’s announcement that interest rates would remain higher for an extended period. This news triggered a sell-off of riskier assets, including stocks, causing all three major averages to end the week with losses.
In China, long lines formed outside Apple stores as consumers eagerly awaited the release of the new iPhone 15. Sales of the device appear to be strong, indicating continued demand for Apple’s products in the world’s largest smartphone market.
In other news, Deere, the well-known tractor manufacturer, faced a downgrade from Canaccord, shifting its rating from a buy to a hold. The decision was based on industry data showing a slowdown in spending on large agriculture equipment. As a result, Deere’s stock fell by 1% in premarket trading.
On the global economic front, the eurozone saw a decline in output for the fourth consecutive month. The HCOB Flash Eurozone Composite PMI output index registered 47.1 in September, indicating a solid monthly decline. This news raises concerns about the state of the eurozone private sector.
Meanwhile, attention is turning to negotiations between the United Auto Workers union and Detroit’s Big 3 carmakers. Talks have been threatened by leaked messages from an aide of UAW president Shawn Fain, leading to concerns that additional strikes may be imminent if progress is not made.
The ongoing strikes by the UAW have presented an opportunity for Tesla, which is now poised to gain an edge over its competitors in the electric vehicle market. With potential additional costs for rival manufacturers, Tesla has emerged as the biggest winner of the UAW strike.
In the tech sector, Meta Platforms, formerly known as Facebook, is capturing attention ahead of its Connect event next week. Analysts at Citi have opened a positive catalyst watch on the company, expecting more details about Meta’s artificial intelligence plans. With a buy rating and a $385 price target, Meta remains Citi’s top pick in the internet sector.
Meanwhile, Beyond Meat is facing a challenging period as Piper Sandler cuts its price target in half and maintains a sell rating on the stock. The analyst cited ongoing difficulties with EBITDA margins and a lack of momentum in sales growth as reasons for the downgrade.
On a more positive note, Constellation Brands has had its price target raised by JPMorgan ahead of its fiscal second-quarter report. With a buy rating on the stock, the analyst has confidence in Constellation’s ability to exceed consensus expectations for Q2 and increase its guidance for fiscal 2024.
As the week comes to a close, investors remain cautious amid the Federal Reserve’s stance on interest rates. The unveiling of the iPhone 15 Pro has generated excitement, while economic indicators and labor negotiations continue to shape market sentiment.
