Apple just lost $62 billion in value in three minutes

[Recursion]

Source: Quartz

Apple’s share price fell sharply after its earnings hit this afternoon. Shares dropped to an after market low of $119.96—about three minutes after the report hit—from a closing price of $130.75. A decline of that order, 8.3%, isn’t unheard of in after hours trading. But given that Apple is the world’s largest publicly traded company by market valuation, that equates to a gobsmacking $62 billion in value. (For comparison’s sake that’s more than the market value of asset management giant BlackRock or consumer products company Colgate-Palmolive.)

But don’t pity Apple, pity yourselves. Because Apple has the largest weighting of any company in the S&P 500 stock market index, pretty much everyone with an index fund has an overweighted position in the Cupertino tech giant. Today we are all Apple. And it hurts.



Read more: http://qz.com/460364/apple-just-lost-62-billion-in-value-in-8-minutes/

[postulater]

1. How does that affect the price of bread?

Today lots of people are still bread.

[Recursion]

3. Two thirds of households have retirement savings

Stock prices are overstated in their importance to retirement savings, I'll admit.

[Igel]

6. A lot of people don't get this.

Or some other things.

Take my mother, for instance: her house went from $260k to $140k in value over the course of a year. She said that bankers stole her money. When it regained value in the last 5 years she couldn't understand where the money came from.

She didn't understand that no money changed hands. When her house initiailly appreciated, she didn't understand where it came from. She bought it at one price, so the developer got some $; she sold it later for $280k.

When some of the companies took serious hits in 2008, 2009, my parents--retirees who saved their entire lives--lost a lot of $. They bought relatively higher and had no choice but to sell lower. Around here everybody assumed that (1) bankers were hurting because they lost money or (2) bankers stole the money.

"We" hear about privately held wealth, but some of the largest holders of stocks and bonds in the US are pension funds--state, muncipal, and corporate. Stocks take a nosedive, and those pension funds suffer.

[Helen Borg]

2. Too big to fail ?

...

[Astraea]

4. after that ridiculous, overpriced watch

I'm not surprised.

[whatthehey]

5. mever fear. The next cheesy white plastic iToy will sell to fanboys by the boatload

and replace all that stock price and more. Buying opportunity. Bookmark this and check back weekly to see how soon that comes true. Won't be long.

[brush]

7. Wonder what this is about? Their earnings were up signifigantly.

Profit taking?

[mahatmakanejeeves]

8. OMG! That's all the way back to where it was 11 days ago.

http://www.morningstar.com/stocks/XNAS/AAPL/quote.html

Full disclosure: I own shares of AAPL. This is not an owner to buy or sell, etc.

[brooklynite]

9. ...and then it bounced back up...

(now at $123; I bought my shares for 65c).

A lot of companies would kill to have a bad day like Apple's.

[onenote]

10. Exactly. Heck, even those who bought last August at $93 are still happy campers.

And it's still higher than it was as recently as two weeks ago when it slipped to $120 for a day before climbing back up.

[Brother Buzz]

11. Lieutenant Dan got me invested in some kind of fruit company.

So then I got a call from him, saying we don't have to worry about money no more. And I said, that's good! One less thing.