World Markets: What happened last week?

Omicron, The Economy and Tech Giants

Micah Shin, Senior Correspondent, USA

12.00AM, January 9, 2022

Rapid Fire Pointers: World Markets Recap

-European stocks closed lower this week

-Indices: S&P 500 down 0.4%, Nasdaq down 1%, and Dow Jones down 0.01%

-Unemployment rate falls to 3.9% instead of expected 4.1%

-Consumer discretionary and technology sectors led the way lower

-Travel and leisure stocks decline

-U.S. dollar index falls, euro is up

-Inflation is expected to settle this year according to Eurozone policymakers

-Omicron variant unlikely to hinder global economy

-Oil prices settled lower at the end of the week

-Gold prices rise from three-week lows

"The Biggest of 'em All": Apple's $3 Trillion valuation

In 2018, Apple was the first company in the United States to reach a market cap of $1 trillion. Since then, Apple's valuation has tripled, becoming the largest company by market cap in the world. One of the company’s most popular innovations, the iPhone, was first introduced in 2007 when Apple was worth about $73 million. The product has continued to post significant growth in sales, increasing the value of Apple’s stock. Another major catalyst for Apple’s increase in valuation was the pandemic. As work, school, and activities moved online, sales of Apple devices surged. As the result of a period of economic uncertainty, investors looked to Apple, a company that proved to be successful despite the pandemic. Apple’s sales along with its wide profit margins ushered a report of $190 billion in investments and cash. Instead of acquiring a large company, Apple has decided to buy its own stock, giving cash back to investors. Some analysts agree that a market cap of $4 trillion could be reached by 2022.

Finance tip of the week

Open a savings account or open one with your parents in order to receive a higher interest rate

Summary

All three indices were down this week. The Omicron variant is unlikely to significantly affect the global economy, and inflation is expected to slow down in 2022. Apple becomes the first company to hit $3 trillion in market capitalization.

Disclaimer: No part of this article constitutes financial advice and should not be interpreted as such