Microsoft (MSFT) has closed the Apple (AAPL) gap in market capitalization in the race for the most valuable companies in the world. As Trump Tiff caused a market conflict, Apple is heavily affected by the impact of new economic policies, casting millions of value. Microsoft is also struggling, but the crash has allowed them to get closer to the top of the mountain in terms of market capitalization.
Early on Thursday morning, the Windows maker regained his position as the world’s most valuable company in the four-day sale of the iPhone maker. Now, Apple is back in the lead, but the gap between the two tech giants is under $100 million. Due to the recent market collapse, Apple Inc. has dropped out of the $3 trillion market capitalization club. The broader market is under pressure following Trump’s announcement of drastic tariffs, falling 13% for the technology-rich NASDAQ composite. In addition to Apple’s reliance on China on manufacturing, the fact that other countries such as India, Vietnam and Brazil have had higher tariff rates, killing the company’s stock and market capitalization.
Other large US stocks have also been hit, including Amazon (AMZN) and Nvidia (NVDA). Tech rebounded on Thursday, and Trump announced a 90-day tariff suspension.
Microsoft has long been seen as a mega cap stock with great potential to surge. In fact, the surge in demand for artificial intelligence that dominated the market this year is expected to bring profits to stock prices. Additionally, entry into new markets could only be added to the stock ceiling this year.
Furthermore, there is still a steady trend of solidity surrounding Windows developers. Despite the slower performance, Microsoft (MSFT) has earned a bullish rating of $510 among its major growth plans. In fact, RBC Capital recently expressed its belief in stocks.
