Here is the list of news you need to catch up for today:
- ECB President Lagarde Conference About Bleak Image of the Economy due to the Increased Covid-19 Cases
- Apple shares value decreased after new iPhone sales miss
ECB President Lagarde Conference About Bleak Image of the Economy due to the Increased Covid-19 Cases
ECB Meeting that took place on October, 29 was important for economical decisions that could be affected by the second wave of Covid-19 in the Europe and the USA. Below you can find short notes of Lagarde’s press conference:
- Increasing Covid-19 cases are causing problems in the economy, downside risks have clearly increased.
- The economy recovered in the third quarter, meeting almost half of the contraction in the first half of the year. But the economic recovery is starting to lose momentum.
- While the recovery in industrial production continued to weaken, a contraction started again in the service sector. With the new Covid-19 restrictions, the contraction in the service sector may increase.
- Consumers continue to be cautious. Low demand and low energy prices continue to suppress inflation.
- Inflation is expected to remain below zero until the beginning of 2021.
- Inflation expectations remain low in the medium long term.
- As long as the inflation remains close to but below 2%, we will continue our expansion programs.
- The general economic outlook will be reviewed at the ECB meeting in December and asset purchase instruments and quantities will be adjusted accordingly.
- Especially the 1.35 trillion euro PEPP (Emergency Pandemic Asset Purchase Program) can be re-arranged at the next meeting.
- We think the economy needs new support.
Apple Shares Value Decreased After New iPhone Sales Miss
Apple Inc. on Friday October, 30th stated its shares value falling 4.5% to $110.15 , the day after it announced newly released Iphone’s sales missed Wall Street estimates and dissappointed investors. Revenue in China missed most analyst estimates and the company announced a fell on Iphone sales today. Analysts were expecting for some guidance for the future predictions but the company did not help them with that.
- Revenue from the iPhone: $26.4 billion vs Expected: $27.1 billion
- Mac, iPad, Services sales exceeded the expectations
- China revenue fell 29% to $7.9 billion
- With Earnings of 73 cents per share Apple topped Wall Street expectations
In anticipation of the new models, which arrived later than usual this year, Iphone sales dropped 21 %. Tim Cook said that, the response to the Iphone 5G and other new devices have been tremendously positive.
Meanwhile, other analysts pointed to the Apple’s strength during the pandemic as an indicator that it still could save itself before the end of the year, and post solid results for the current quarter, even with late Iphone 12 sales.
Apple displayed surprising resilience at the peak of the pandemic, with sales rising 11% to $59.7 billion, although a small decline was expected by Wall Street.