Apple sets the tone
Although its issues are self-inflicted, it's holding back the rest of the market.
Is it Apple (AAPL) tick by tick? Lots of people have been speculating how important Apple has become to the market. Given that it is 20% of the Nasdaq ($COMPX), we know it's a huge deal to that index.
But can this market rally without Apple, even intraday?
Here's my take. You may not be able to pin down the correlation, but it has become highly unlikely to have a big rally in this market without Apple's participating, if only because it has become ingrained in the American stock psyche like no other stock I have ever seen.
It simply colors everything, and when it goes down, there is a presumption that something is very wrong, and if it is very wrong with Apple, it has to be really wrong for everything else, except perhaps for its enemy, Google (GOOG).
Now, here's a bit of semicircular reasoning, but if you were to take Apple out of the indexes so they wouldn't be biased by it, I still don't think the impact would be lessened. This stock has become the heart and soul of stock trading, and everyone and his brother seems to have a chart of where it fails and where it holds and where it bounces to and where it gets repelled.
Until it gets back into a gentle rise, something that can happen as it changes the tenor of the Maps discussion -- hey, it can happen, as Steve Jobs changed the tenor of the antenna discussion -- I think we are going to be trapped by it in one form or another.
It's just too important.
This is a shame. Apple's issues are really self-inflicted. It could have kept Google Maps for now while working on its own system, which I have now used and believe is, theoretically, far superior to Google's, except that it doesn't have the right information programmed into it.
But until Apple comes up with something better than an "I am sorry" answer, I think we are going to be reading off the Apple chart, and that means we are in no man's land, which means the overall market might be in no man's land, too.
Jim Cramer is a co-founder of TheStreet and contributes daily market commentary to the financial news network's sites. Follow his trades for Action Alerts PLUS, which Cramer co-manages as a charitable trust and is long AAPL.
More from TheStreet.com
MORE ON MSN MONEY
It could have kept Google Maps for now while working on its own system, which I have now used and believe is, theoretically, far superior to Google's, except that it doesn't have the right information programmed into it.
I guess having the "right information programmed into it" is not a core feature needed in a maps app? Or any app for that matter?
Cramer you are such an unabashed schill it's ridiculous!
Apple's manufacturing isnot exactly clean and they don't sell the best product on the market - it's all great advertising and denial on behal of the American public that the iPhone is a desireable product.
I am no market guru but I do watch and read a lot of business news. Just the fact that business news can report a bad headline one day and a good one the next can simply sway the markets. Just look at how oil markets have always reacted to news weather it was actually happening news or just might happen news. I think the general stock market is reacting that way. Just like oil traders of everything are trying to guess what is going to happen next. Its better to do something then nothing. The trouble with Apple is if it can continue its rise or will something happen that throws Apple into a death spiral.
If you look at Apple long term you know it has had worse days. It has been riding a high but after the whole Antennagate, glitches in its operating systems, labor problems with its partners like Foxconn and the general feeling now that Apple is not such a nice company coming from a society less forgiving of wealthy companies who seem to defy good profit margins. But instead make exceptional profit margins.
oil drops because of slow growth in china, where the hell have you guys been. vacationing with the obama's, idiots, slow growth been there for 3 years. when is the wall street gonna get with the times, drop the dow about 5000 points and you guys will be telling the truth instead of fixing everything for obama. glad people are making money right now but i would be thinking of pulling the plug soon. the fiscal cliff is going to happen their isn't much anyone can do to fix it. a budget would have been nice 3.5 years ago. hahaha even the demo's laughed at obama with his.
sorry i was out of line but can't write no where else.
Copyright © 2013 Microsoft. All rights reserved.
Quotes are real-time for NASDAQ, NYSE and AMEX. See delay times for other exchanges.
Fundamental company data and historical chart data provided by Thomson Reuters (click for restrictions). Real-time quotes provided by BATS Exchange. Real-time index quotes and delayed quotes supplied by Interactive Data Real-Time Services. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by SIX Financial Information.
Start investing in technology companies with help from financial writers and experts who know the industry best. Learn what to look for in a technology company to make the right investment decisions.
Investors would be wise to watch for the predictable summer swoon in the shares of video-game companies. Catalysts are in place for a strong second half of 2013.
VIDEO ON MSN MONEY