Imade the prediction of Apple Inc. stock in the stock market. Myprediction was that the stock would decline or rather go down. Thishas however not been the case for the entire week except after twodays to U.S elections. The choice of the AAPL stock was mainly to seehow best it would perform especially in times of uncertainty. Theuncertainty, in this case, is the election results of the U.S and thesubsequent effects on the stock market.
Thestocks of Apple Inc. were on the rise the first 4 days of the weekand then slumped towards the end of the week. First, this might havehappened due to the surprise election of Donald J. Trump as the nextPresident of the United States and the sweeping of the Republican inboth the House and the Senate. The Apple Inc. stocks fell by 0.2% to$110.88 (, n.d).
Myprediction was based on the uncertainty that was facing the marketfollowing the election in the US. Even though I had thought that thestocks would fall for most of the technology companies, I was notsure who would be the President. The polls showed that Hillary waswinning, but the expression of individuals on the ground wasdifferent. I was in a state of confusion. With this kind ofconfusion, it is evident that stocks would be affected.
Atone point, I thought that the policies of either candidate wouldbring confusion to the market. The anxiety to have either candidateby the shareholders would affect the trading. For instance, Trump’spolicies would affect the technology companies that depended so muchon Mexico for aspects of their manufacturing and supply chain. On theother hand, his policies would be favorable to Apple Inc. as thiscompany holds a lot of cash overseas. The benefit would be in theform of reducing the tax penalty that the company is needed to pay tooust profits from its subsidiaries located overseas.
Eventhough the Trump’s Presidency would be beneficial, the pollsindicated a Hillary Presidency. In the end, it would just beconfusion and uncertainty in the stock market. The result is adecline in the stock.
PredictWall Street. (n.d). Retrieved fromhttp://www.predictwallstreet.com/PredictNow.aspx?symbolid=113&symbol=AAPL[Accessed 10/11/2016]