Apple released their earnings on Thursday after market close. iPhone, Mac, Wearables, and Services revenue reached new all-time highs. The company finished the quarter with total net sales of $104.4B and a gross margin of $54.2B. Apple shares flew up in after hours and then again on Fridays open.

Helping markets along

What was positive to see was the general market bouncing off Apples earnings. How can this be? Apple closed Friday up 7%. This is a very strong day in the current market. Apple shares are still down 7% year-to-date. The company is the largest by weight in the two most major indexes on the market, the S&P500 and Nasdaq. It makes up 6.8% and 12.6% respectively.

Apple has done well considering they are in a sector that is heavily reliant on semi-conductors. There has been a global shortage of these throughout last year.

Finance chief Luca Maestri said that the supply chain problems plaguing the economy cost Apple “more than $6B” in revenue, a similar amount to the prior quarter. Investors had anticipated the supply headwind to be closer to $10B based on the company’s previous comments.

They are anticipating to set a March quarter revenue record and continue to grow revenue this year.

Apples flagship product, the iPhone, has continued to lead the market, making up the top 5 most popular phones in the US.

What next?

Although times still seem uncertain in the stock market, Apples strong earnings have helped. Both the index’s have traded sideways for the past week, failing to breakout above but holding up on support. The daily range is still unusual, being much more volatile than previous history. Maybe Apples helping hand may see the market breakout above this consolidation as buyers become less fearful and start to buy again.

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