(Australian Associated Press)
NEW YORK: US stocks have dipped as Apple and shares of its parts suppliers weakened on a report of soft iPhone X demand, which pulled technology shares lower.
Apple will slash its sales forecast for its flagship phone in the current quarter to 30 million units, down from what it said was an initial plan of 50 million units, Taiwan’s Economic Daily reported, citing unidentified sources.
The report, along with some recent brokerage calls on tepid iPhone X demand, put Apple shares on pace for their worst single-day percentage fall since August 10.
Shares of companies that supply parts to Apple, including Broadcom, Skyworks Solutions, Finisar and Lumentum Holdings, all moved lower. The PHLX semiconductor index lost 1.03 per cent.
The S&P technology index fell 0.76 per cent, the worst performer among the 11 major S&P 500 sectors. The index has come under pressure in recent days and was on track for its fifth straight decline as market participants see tech names getting a smaller boost from the US tax overhaul.
In late afternoon trading on Tuesday (US time), the Dow Jones Industrial Average was down 0.08 per cent, at 24,735.19, the S&P 500 had lost 0.11 per cent, to 2,680.26 and the Nasdaq Composite had dropped 0.35 per cent, to 6,935.37.
Most markets around the world, including parts of Europe and Asia, were shut on Tuesday. Trading volumes are also expected to be light in the holiday week.
LONDON: London and Europe’s key markets, including the DAX, were closed on Tuesday.
TOKYO: Around the Asian region, MSCI’s Asia ex-Japan stock index was weaker by 0.19 per cent while Japan’s Nikkei index closed down 0.20 per cent at 22,892.69.
Hong Kong was closed on Tuesday.
China stocks ended firmer on Tuesday, led by financial and real estate firms, though trading was thin as year-end nears.
At the close, the Shanghai Composite index was up 0.78 per cent at 3,306.13, while the blue-chip CSI300 index was up 0.30 per cent, at 4,053.62, with its financial sector sub-index higher by 0.8 per cent, the consumer staples sector down 1.46 per cent, the real estate index up 0.77 per cent and healthcare sub-index down 0.61 per cent.
WELLINGTON: New Zealand’s market was closed on Tuesday.