The U.S. stock market has been stuck in a two month slump, while bond yields hit new highs and earnings from Alphabet and Tesla disappointed investors. Investors are looking for a rallying point.
That hero might be Apple, the only one of the ten largest stocks in the S&P 500 still near an all-time high.
After stagnating for seven months, Apple shares have surged 20% since their late June low and are now less than two dollars shy of a new all-time high set just over a week ago.
Apple is set to report earnings after the market closes Thursday.
Options traders are betting on continued strength, with large investors buying in-the money calls and speculators aiming for a breakout to new highs by this Friday.
These trades were placed before the market closed Friday, and open interest around Apple has increased throughout the summer.
Source (CNBC)
