Dow Jones Lower as Apple Stock Fails to Get Boost From iPhone 12; Goldman Sachs Reports Blockbuster Numbers

The Dow Jones Industrial Average (DJINDICES:^DJI) was down about 0.5% at 2:55 p.m. EDT on Wednesday as uncertainty surrounding additional pandemic-related stimulus persisted. A quick deal for more aid looks unlikely after Treasury Secretary Steven Mnuchin said that reaching an agreement before the election would be difficult.

Shares of Apple (NASDAQ:AAPL) fell along with the Dow on Wednesday, one day after the tech giant unveiled its new lineup of iPhones. Meanwhile, Goldman Sachs (NYSE:GS) stock was up slightly after the company reported blockbuster results.

The iPhone 12. Image source: Apple.

Apple iPhone event doesn’t help the stock

Apple delivered largely what was expected during an event on Tuesday. The tech giant unveiled its slate of 2020 iPhones, comprised of four models featuring 5G cellular technology. The iPhone 12 mini is the smallest and cheapest, starting at $699. The larger iPhone 12 will go for $799, while the premium iPhone 12 Pro and iPhone 12 Pro Max will sell for $999 and $1,099, respectively.

Apple raised prices in a few different ways with this new collection of iPhones. First, the base iPhone 11 was priced at $699 last year, $100 less than the standard iPhone 12 this year. Second, the iPhone 12 and iPhone 12 mini will cost an extra $30 if not bought through either AT&T or Verizon, although other carriers will likely offer various deals and trade-in offers. And third, Apple will no longer include headphones or a charger with its iPhones.

Analysts are generally happy with Apple’s pricing decisions. Jefferies boosted its Apple price target from $135 to $140 following the event, predicting a robust upgrade cycle. Meanwhile, Raymond James maintained its outperform rating, saying that aggressive trade-in offers from carriers should drive upgrades, and that the pricing should boost Apple’s iPhone average selling price.

Of course, the state of the economy is the big wild card. With persistently elevated unemployment, no new economic stimulus in sight, and signs of a winter wave of…