After posting its multimonth high near $215 on May 1, Apple (AAPL) stock turned negative. The stock ended May with 12.8% losses. The broader market also turned negative in May after posting gains for the previous four months. The S&P 500 benchmark and the NASDAQ Composite Index lost 6.6% and 7.9%, respectively, last month. Apple investors’ sentiments seem to have turned positive in June. The stock has risen 10.0% as of June 10 with the help of 11.1% gains in the last five sessions alone.
Apple’s WWDC 2019 event
On June 3–7, Apple held its annual worldwide developer conference. Among many other key announcements, the company previewed iOS 13—its latest version of the mobile operating system for devices including iPhones and iPads.
During the event, Apple also announced a new version of its operating system—macOS Catalina, which is expected to be available for Macintosh computers this fall. A series of new announcements from the company boosted investors’ confidence and supported a sharp recovery in the stock.
Drive.ai acquisition news
On June 6, The Information reported that Apple is seeking to acquire California based autonomous car technology company Drive.ai, which could speed up Apple’s self-driving car project. Investors reacted positively to the news. Nearly four months ago, a CNBC report suggested that Apple reduced the workforce from its self-driving car project by 200.
Apart from these positive factors, the broader market rally triggered by the Fed’s indirect signal towards a possible rate cut in the near term helped Apple stock sustain its gains.