Apple crashes under $100 in pre-market trading as tech stocks set up for dismal day

“U.S. index futures signaled losses will cascade in the world’s biggest stock market after equities ended last week down the most in almost four years,” Inyoung Hwang reports for Bloomberg.

“In a broad selloff spanning all industries, stocks including Apple Inc. and Netflix Inc. slid at least 5.3 percent,” Hwang reports. “Contracts on the Standard & Poor’s 500 Index due in September slid 3.5 percent to 1,902.50 at 8 a.m. in New York. Futures on the Nasdaq 100 Index fell 5 percent and those on the Dow Jones Industrial Average retreated 3.7 percent.”

“Calm in the U.S. market shattered last week, with volatility soaring by the most on record as the Dow entered a correction and investors dumped the biggest winners of 2015. A gauge of volatility expectations more than doubled last week. Shares succumbed to a global selloff that’s wiped more than $5 trillion off the value of equities around the world since China’s shock currency devaluation on Aug. 11,” Hwang reports. “The S&P 500 is down 7.5 percent from its last record in May, and on track for its worst August decline in 14 years. It sank the most since 2011 on Friday amid signs China’s economy is weakening. A gauge of volatility expectations more than doubled last week.”

Read more in the full article here.

MacDailyNews Take: Contagion.

CEO Tim Cook to Jim Cramer: Apple is seeing strong growth in China through July, August – August 24, 2015
Apple pulverizes the Street with record third quarter results – July 21, 2015
Apple pounds Street with record second quarter iPhone and Mac sales – April 27, 2015
Apple destroys Street with all-time record earnings – January 27, 2015
Apple bulldozes Street with record quarterly revenue of $42.1 billion – October 20, 2014


    1. Can you believe all of Apple’s shareholder gains have been wiped out for an entire year. Except for dividends, loyal, long-term Apple shareholders have gotten exactly nothing from the wealthiest company on the planet for the past 52 weeks. I would say that doesn’t quite make any sense at all.

      It appears as though Apple has totally collapsed although that hasn’t happened at all. I’m only saying how Wall Street can deceive investors into thinking a company is in trouble when that isn’t necessarily the case at all.

  1. FWIW, this morning Cramer read an email to him from Tim Cook vis à vis Apple’s performance in China.

    The note was obviously non-specific but Cook’s implication was that current iPhone sales in China and the future look good. iPhone activations have increased in the past few weeks.

    Cook says the Chinese middle class is resilient and LTE service is still expanding, which will lead to future sales increase.

    IOW, sell AAPL at your own peril. Buying shares would probably make more sense. Today will be ugly, but what goes down goes back up,

  2. Tim is in full panic – why, I don’t know. No matter what, his gigantic wealth is secure – unlike that of holders of AAPL. Sure, the market collapse is dragging down everything but AAPL more than the rest revealing, once again, the lack of confidence the street has in the lackluster Mr. Cook. It knows he is clueless when it comes to dealing with the question of what to do to regain the footing of the once great company.

    1. Gee Jim nice flamboyant post:

      “Tim is in full panic – why, I don’t know.”: Proof? A link, an article, a quote from Tim Cook that says “I’m in full panic.” or shall we go with cricket chirps? Or are you depending on Whore Street to make your decisions for you.

      Here’s a lack of confidence with what you say from now on:

      For the record of course, from Sept 21 2014:

      “You will be pleased to know that I’m about done with saying what I say on this board – it’s clearly been therapy for me and I’m very close to not needing it any more – I’ve reached the realm of apathy.”

      Jay Morrison

      If you are going to talk the talk Jay, walk the walk. You are done saying what you’ve said on this board, you’ve been done for years. You just keep parroting the same thing over and over again and the more you do, the less it means.

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.