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Apple Stock Is Rising Because the Latest Big News Was More Exciting Than Expected

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Wall Street is always an expectations game. The question is never about absolute performance: It boils down to how a company does relative to what Wall Street anticipates. That dynamic was in play heading into Tuesday’s Apple’s iPhone 11 launch event. Expectations on the Street were low, and the performance cleared the bar. That has Apple (ticker: AAPL) stock gaining ground on Wednesday. The announcements fell into three categories. There were, as expected, new phones—the iPhone 11, the 11 Pro, and the 11 Pro Max. Apple made a couple of other hardware updates, in particular the launch of the new Apple Watch Series 5, plus a modest tweak to the entry-level iPad. And there was significant news about Apple Arcade, the subscription videogame service, and Apple TV Plus.

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