*By Michael Teich*
Apple may have avoided Trump's wrath in the latest [round of tariffs](https://cheddar.com/videos/china-retaliates-on-tariffs-markets-shrug) on Chinese goods, but the company is not out of the woods yet, said D.A. Davidson's senior equity research analyst Tom Forte.
There's a risk "if you see protectionist behavior from both sides ー the U.S. and China ー given that 20 percent of revenue for Apple comes from consumers in China," he said in an interview with Cheddar Tuesday. "There's still risks for Apple from a prolonged trade war."
That would only add to the issues Apple is already facing in China ー its smartphone sales are trending in the wrong direction in that country. The high price of its latest iPhone X contributed to a loss of market share, dragging it down to 6.7 percent in the latest quarter from 7.2 percent a year earlier.
That puts the company behind Chinese rivals Huawei ー which leads with 27.2 percent of the [market](https://www.idc.com/getdoc.jsp?containerId=prCHE44199418)ー OPPO, vivo, and Xiaomi.
Apple was largely spared from the latest round of tariffs levied by the Trump administration Monday ー the $200 billion worth of Chinese imports subject to the 10 percent tax do not include the Apple Watch or AirPods. And while China did quickly retaliate with its own round of $60 billion in tariffs, that country's all but exhausted its ammunition for further action, as almost all of the goods its imports from the U.S. have been affected.
Shares of Apple were up slightly Tuesday, though other companies that escaped deep impact were up more ー Fitbit, whose fitness trackers were also left out of the affected list, saw shares rise more than 6 percent, making it the biggest gainer in the Cheddar 50.
For full interview [click here](https://cheddar.com/videos/apple-dodges-bullet-in-u-s-china-trade-wars).
President Donald Trump said he has decided to lower his combined tariff rates on imports of Chinese goods to 47% after talks with Chinese leader Xi Jinping on curbing fentanyl trafficking.
Universal Music Group and AI platform Udio have settled a copyright lawsuit and will collaborate on a new music creation and streaming platform. The companies announced on Wednesday that they reached a compensatory legal settlement and new licensing agreements. These agreements aim to provide more revenue opportunities for Universal's artists and songwriters. The rise of AI song generation tools like Udio has disrupted the music streaming industry, leading to accusations from record labels. This deal marks the first since Universal and others sued Udio and Suno last year. Financial terms of the settlement weren't disclosed.
Nvidia on Wednesday became the first public company to reach a market capitalization of $5 trillion. The ravenous appetite for the Silicon Valley company’s chips is the main reason that the company’s stock price has increased so rapidly since early 2023.
Chris Williamson, Chief Business Economist at S&P Global, breaks down September’s CPI print and inflation trends, explaining what it means for markets.
