Apple’s Wednesday-to-Wednesday gain, however, was reversed by the stock’s drop so far today — a fall of 1.89 percent as of 2:20 p.m.
The big news for the week is that Apple’s 7-for-1 stock split took effect on Monday, June 9.
The market reacted favorably, rising 1.60 percent for the day.
In other news this week, the Wall Street Journal reports that Apple’s new programming language for creating apps — called “Swift” — is faster and easier to use than Objective-C, the language Apple was using before, which could attract younger developers to create new Apple Apps that would appeal to a younger consumer demographic.
Amazon (NASDAQ: AMZN) continues to challenge Apple on various fronts.
Today, the company released a streaming music service for its Amazon Prime customers, which will compete with the new service that Apple will soon be launching with its acquisition of Beats.
Meanwhile, in Europe, EU investigators are looking into whether Ireland and other low-tax countries were offering improper tax breaks to Apple and other multinational companies, including Starbucks (NASDAQ: SBUX).
Apple denied receiving “selective” tax treatment from Ireland and pointed out that it was a large employer in the country.
Rumors of the week:
Rumors about the iWatch seem to be everywhere, as we draw closer to the expected date of the device’s release.
A Cantor Fitzgerald analyst believes that Apple’s suppliers will start making parts for the iWatch this week, and that the device will debut with the iPhone 6 in September.
He estimated that the lowest-tier price for the iWatch will be between $199 and $229.
Other rumors agree that the iWatch will be coming this fall, but not until October.
An analyst at UBS believes the iWatch will be a big hit. He predicts 21 million iWatches will be sold in fiscal 2015, and 36 million sold in fiscal 2016.
That would put the sales of iWatches during its first two years on the market on a par with sales of the iPad during its first two years.
He is also predicting an average iWatch sales price of $300 and concludes that the iWatch could increase earnings per share by 15 cents in fiscal 2105 and by 30 cents in fiscal 2016.
There were also new rumors about the iPhone 6.
Photos that were said to be leaked pictures of the iPhone 6 design show a slim case with rounded corners; a button on the side, most likely the power button; and a flashing Apple logo on the back to indicate incoming calls.
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By Diana Primavera, ETF Daily News