Here’s what clobbered Apple Tuesday

“I don’t pretend to know how much Apple will be hurt by China’s decision Tuesday devalue its currency—a decision that caused the yuan to weaken in one day 1.9% against the dollar,” Philip Elmer-DeWitt reports for Fortune.

“I do know that the killer quote in the Wall Street Journal‘s ‘Devalued Yuan Set to Take Bite Out of Apple’ — the widely-reposted story that triggered a 5.2% drop in Apple’s share price and knocked $35.5 billion off its market value — came from the Taiwanese bank Fubon,” P.E.D. reports. “‘China’s sudden devaluation confirmed market concerns over China’s economic growth,’ Arthur Liao, an analyst at Fubon, told the Journal. ‘We expect weaker consumer demand for iPhones in China, and Apple may raise its product prices later if China continues to devalue its currency.'”

P.E.D. reports, “For the record, Fubon’s estimates for iPhone sales in the September and December quarters are outliers, well below the Street’s.”

Read more in the full article here.

MacDailyNews Take: This overreaction too shall pass.

Meanwhile, $109.63! 🙂

Stock futures slump as China further devalues the yuan – August 12, 2015
Apple poised for pain – and gain – on China’s move to devalue the yuan – August 11, 2015
Morgan Stanley: This is your chance to buy shares of Apple at a discount – August 6, 2015


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