“Stock futures were setting up for heavy declines on Tuesday on fresh fears over the health of China’s economy,” Keris Alison Lahiff reports for TheStreet.
“The Chinese economy looked to be in even worse shape after new data that showed its manufacturing sector contracting,” Lahiff reports. “China’s official Purchasing Managers’ Index slid to 49.7 in August, down from 50 in July, its worst reading in three years. Separately, the Caixin China manufacturing PMI fell to its lowest level since March 2009, down to 47.3 in August. China’s Shanghai Composite fell more than 1%.”
“Head of the International Monetary Fund, Christine Lagarde, has warned emerging economies to prepare for the slowdown in the world’s second-largest economy. Lagarde also warned global growth could be weaker than the IMF’s forecast two months ago,” Lahiff reports. “High-momentum tech companies were selling off in premarket trading. Tesla and Netflix fell more than 3%, Apple was down nearly 2%, and Google slid 2.3%. ”
Read more in the full article here.
MacDailyNews Take: Yuck. Somehow we doubt there’s another email to Cramer in the offing. Hopefully, AAPL will be a bit more resilient going forward.