Apple margin forecast weighs on tech as oil prices climb

Apple shares faced downward pressure in premarket trading after the company issued a lower-than-expected gross margin forecast of 45–46%. While quarterly revenue of $114.48 billion and earnings per share of $2.10 topped analyst projections, concerns regarding a global memory chip crunch dampened investor sentiment.

The broader technology sector remains under scrutiny, with the Nasdaq-100 recently entering correction territory. Analysts note that while earnings performance is solid, external factors such as rising energy costs and capital expenditure requirements are becoming increasingly central to market valuations.

Geopolitical instability has added further volatility to the financial markets. Following reports of a U.S. strike on Iran's Qeshm Island, oil prices rallied, reversing losses from earlier in the week. Market participants are now balancing these risks against the backdrop of the U.S. midterm elections.