Dow plunges 400 points as Apple leads tech retreat

“The Dow Jones Industrial Average fell 400 points on Monday after a big decline in Apple shares, a rise in the U.S. dollar and lingering worries about global trade weighed on investor sentiment. The tech-heavy Nasdaq Composite pulled back 2.2 percent and fell back into the correction territory it first entered during the October market rout,” Fred Imbert reports for CNBC. “The S&P 500 dropped 1.3 percent as financials tanked, led by Goldman Sachs.”

“Apple shares fell more than 4 percent after Lumentum Holdings, which makes technology for the iPhone’s face-recognition function, cut its outlook for fiscal second quarter 2019,” Imbert reports. “Shares of Lumentum plunged 29.5 percent.”

“The decline in Apple pressured the broader technology sector. The Technology Select Sector SPDR dropped 3.1 percent. Alphabet and Amazon shares pulled back 2.4 percent and 4.4 percent, respectively. Amazon shares also traded around bear-market territory, down about 20 percent from its 52-week high,” Imbert reports. “Goldman shares headed for their biggest drop in seven years after a report Malaysia’s finance minister demanded a refund of fees paid the firm for its work in scandal-plagued state investment fund 1MDB.”

“A strong dollar also pressured equities as investors worried what it would do to multinational earnings,” Imbert reports. “The dollar index hit a high of 97.58, its highest level since June 23, 2017. The U.S. currency also hit a more than one-year high against the euro and Swiss franc.”

Read more in the full article here.

MacDailyNews Take:

Be fearful when others are greedy and greedy when others are fearful. — Warren Buffett

Apple supplier Lumentum slashes outlook after large customer requests shipment cut – November 12, 2018
Gene Munster: Apple has cornered the market in VCSELs, further expanding their AR lead – August 8, 2018
Piper Jaffray: Buy Apple-supplier Lumentum because demand for its 3D sensors will surge – July 2, 2018
Austria’s AMS AG, maker of Apple TrueDepth components, warns of short-term demand difficulties – April 24, 2018
Bernstein: AMS AG is biggest winner in Apple’s TrueDepth Camera system – April 10, 2018


  1. The old adage from Steve Jobs might be obsolete : people don’t know want they want.

    Apple has the power to do better. Way better. Why aren’t they?

    Are they aware that people aren’t getting wealthier?

  2. 20 minutes left in the trading day, with AAPL now -$10, just about -5%, and NO buyers are stepping in. The stock has been royally thrashed and no one is buying with this heavy discount.

    Can’t blame them. Having a blank eyed, drooling mouth breather of a CEO hardly inspires confidence.

    Spaceship campuses dont satisfy customers.

    4 year old Mac Pro’s dont satisfy customers.

    The worst remote in remote control history does not satisfy customers.

    and on and on and on and on…..

    1. And a stupid rumor at that. Apple has three suppliers for the face-recognition tech. #1 is being acquired by #2, and #2 is reporting a huge boost in its revenue. #3, Lumentum, is reporting a cut in orders. So, Apple is shifting the mix of its orders from #3 to #2.

      That does not even suggest, much less prove, that the total number of orders is down. They might be up. There is no way to know by looking at just one point in the supply chain.

    1. You selective, contextually confused or manipulative bunch…
      take the same snippet of time and apply it to Obama’s period.. you will see much worse moments .. very frequently !!!
      You indoctrinated Obamazoids are truly a joke and a desperate bunch ! And blind !

      1. Unlike indoctrinated Trumpanzies who gladly embrace racism, misogyny, mental illness, suspected treason, corruption at a level not seen since 1920’s Chicago and a president who operates at a 5th grade level just to pump up the market which probably would have hit these levels without the national embarrassment. FU

        1. You just perfectly demonstrated the lib manipulative distotion field!

          You paint Trump with whatever brush suits u and then present it as fact and go on ranting..
          Little u know the picture you paint is in your own image.. wolves in sheep’s skin crying wolf !
          Hysterically hypoctical and delusional!

          1. Jimbo: give it a rest. Whatever pro-Trump PAC that pays you by the off-topic political post must be running out of money by now.

            There is no hypocrisy in showing the Dow in context — steady growth under Obama. That’s what quantitative easing and direct corporate welfare loans did. You and the rest of the Trumpanzees spent 8 years bitching about it. Now when Trump issues permanent tax cuts for his corporate handlers, putting the USA in a further $1.5 trillion in debt, you are all cheers. All you have to do is explain why the Dow isn’t rising anymore. Why don’t you go away and post your answer on a political blog somewhere instead of shadow boxing those of us who understand macroeconomics and can see through Trump’s self-serving corruption.

            1. Mike you complaining about political posts has to be one of the biggest jokes of the century ..and the epitome of hypocrisy..
              But im not surprised.

              That said . You say im Off the topic.. . ? Really ?..
              Another reality distortion that suits you?…are you realy that biased..? ( why am i asking 🤦‍♂️)
              It was a liberal partner of yours that posted the annotated chart and brought politics into this thread dear Miley .. not me.

              So address your complaint to the right Party!

              I just responded how ludicrous it is to show that chart with the particular annotations to bash Trump and then completely ignore/be blind to how the same anotations, signifying theTrump time interval, applied to Obama does not make him look much much worse.
              There is a total fallacy in that presentation!

              You cant have it both ways! Mikey ..Capish ?

              As for me being a paid poster.. interesting!
              Is that another assumption by you treated as Fact? In typical lib manner..!?
              Becouse i call the lib bs!?
              …And is me having no understanding of macroeconomics .. yet another assumption treated as fact?
              while your are toothing your own horn…. so humbly..
              Now Surly you are not privy to any of this information u claim to know as facts !

              Mikey Mikey..
              Grow up!.. open your eyes..
              Fanatism is not a cool thing …

              That all 😉

      2. “snippet of time”

        Well how come you never have a problem with the popular pasttime of cherry picking data to support Trump? Oh that’s right, you don’t actually offer data. That’s not the Trumpanzee way.

        The problem with using any one metric, like the DOW, to judge the actions of any one man, especially the president, is that the market doesn’t take its cues from the White House. Anything Trump does is announced (or threatened) months or years before its effects can be felt. Look at the Obama turnaround — it was triggered in October 2008 when Bush signed the TARP bill. The Dow didn’t actually start its climb back until March 2009, and that was a massive injection of capital into the economy. The only significant legislation Trump passed was at the end of 2017 — all the stock market movement in 2016 and 2017 was in anticipation of the massive deficit-ballooning tax cut. Ever since, it’s been nothing but bad news out of Trump. Trump has been taxing consumers and small businesses with unilateral trade tariffs with completely unpredictable results. The market will continue to stall out until free trade returns in 2020 with a new administration. But then the next president will have to deal with a huge accrued federal debt and you will no doubt blame him for that debt, right?

  3. We are in a recession, but it will not become apparent until later, as is usual.

    Nobody is buying big ticket items and housing prices are cooling even in the hottest markets.

  4. It seems the LITE revenue is shifting towards FNSR. Following was reported 6 months back!
    “Commentary from management suggests the company is preparing for a large uptick in the second half of 2018, in line with rumors of a multi-iPhone launch this fall. Of note, Finisar provided an update on its 700,000-square foot plant in Sherman, Texas, saying VCSEL production at the facility is expected to go live in the second half of this year.
    The plant is thought to have been purchased, at least in part, with funds received from a $390 million infusion from Apple as part of the tech giant’s Advanced Manufacturing Fund. In announcing the grant in December, Apple said the cash should allow Finisar to “exponentially increase its R&D spending and high-volume production,” adding that all VCSEL supply purchased from the firm would come from the Sherman facility. ”

    FINSAR now getting Apple’s business….

  5. That chart is quite instructive. Obama inherited an economy headed drastically downward, Trump inherited the Obama recovery, and even with his massive tax cut and accelerated redistribution of wealth to the 1% is beginning to struggle.

    The news out of China on the other hand shows huge sales of the iPhone, contrary to some analyst speculation. Apple will be fine and is a great stock to own for the future,

    1. Yet unemployment is at its record lows and consumer confidence is at record highs.

      And ooOh ya.. the chart is so telling..
      And its such comprehensive

      Take the same snippet of time and apply it to Obama’s period.. you will see much worse moments .. very frequently while he is doing nothing !
      lol.. you indoctrinated Obamazoids are truly a joke and a desperate Bunch ! And blind …

      Trump has the brass to confront those who play US and tries to level the playing field. ..which will have its short term consequences yet its great for the long run ..
      . …as opposed to the lame O doing nothing but preaching BS!

        1. No clue what u mean…
          The chart is there .. its not an opinion issue…
          All one has to do is look at The Big Lame O’s Period in same snipett of time intervals as the Big Ts..

          Presenting this chart as pro O Propaganda vs Trump is not only funny… It is absolutely ridiculous .. since it makes Onama look a lot wose than T.. ( given the T snipett was presented so confidently as a negative period by the poster)

          But hey lemmings walk off cliffs without questioning things..
          Herd mentality!

          1. Jimbo: you’re chasing your tail again and got all dizzy. Why don’t you go away and come up with a reasoned rational fact-based assessment why you feel the need to berate the strong stock performance under the entire Obama presidency and now, when the USA should have no reason to slow down, your hero Trump isn’t able to sustain the growth Obama offered, and not even close to the growth Trump claimed. YOU go ahead and explain what changed. Hint: it’s actions that the Trump administration took. Stop taking cheap shots at others and look at what the current administration is doing for the USA economy. If you think Trump has ever worked on behalf of the working class EVER, then you are completely lost.

  6. Reportedly weak XR sales are to blame. I’m waiting to buy one but I want it unlocked and that is not yet available. Some people also might be waiting to see if there are any Black Friday or Cyber Monday deals.

  7. The harvest of profitable positions always occurs immediately prior to the whine of the outraged generation that their always goes up entitlement has proved untrue once again.

    Don’t tell me, let me guess, put their eggs in a basket they know never bothered to study? Ahhh, brilliant move!

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