Dow Drops Nearly 400 Points as Apple Leads Tech Rout

Dow Drops Nearly 400 Points as Apple Leads Tech Rout

Dow Drops Nearly 400 Points as Apple Leads Tech Rout

The S&P 500 fell 48 points, or 1.8 percent, to 2,641.

Benchmark U.S. crude reversed an early loss and rose 0.5 percent to $56.76 a barrel in NY. The Nasdaq composite rose 80 points, or 1.1 percent, to 6,988.

The Nasdaq is down 339.05 points, or 4.7 percent.

The slide weighed down tech stocks in general, which have been tumbling over the past month.

Investors are measuring a number of headwinds and increasingly playing it safe.

The selloff began with tech stocks including Apple, Amazon and Alphabet, the parent company of Google, but quickly spread to other sectors such as energy, retail and telecommunications. Apple fell 4 percent to $185.86 on renewed worries that iPhone sales could slow, Microsoft lost 3.4 percent to $104.62 and Amazon gave back 5.1 percent to close at $1,512.29. Brent crude, used to price worldwide oils, fell 24 cents to $66.55 per barrel in London. Hong Kong's Hang Seng retreated 1.3 percent to 26,023.02 and Seoul's Kospi shed 0.7 percent to 2,086.50. Oil prices were little changed Monday, but they've nosedived since early October. But after that increase in production, the administration granted waivers to several countries that allowed them to keep importing more oil from Iran.

Bond prices fell. The yield on the 10-year Treasury note rose to 3.07 percent.

European indexes fell, with Germany's DAX index dropping 1.6 percent.

Facebook shares, which have sold off sharply in recent days, actually rose a half of a percentage point in the first hour of trading.

The Dow Jones Industrial Average lost 53 points, or 0.2 percent, to 25,365. The scandal threw into question Ghosn's future as leader of the Renault-Nissan-Mitsubishi alliance, which sold 10.6 million cars past year, more than any other manufacturer.

Stocks sank Monday as investors focused on simmering trade tension between Washington and Beijing after the two governments clashed at a weekend conference. In Paris, shares of Nissan's partner Renault dropped 8.4 percent.

"Since the mid to end September, a lot of investors have been anxious that there are issues that are going to prevent some big technology shares from making money in the future", Schlesinger said, adding that the decline in stocks doesn't mean we've entered a recession.

So far, the United States has slapped tariffs on $250 billion worth of Chinese goods, about half the value of US imports from the country.

Presidents Trump and Chinese President Xi Jinping are set to meet next week at the G20 summit in Argentina, but a breakthrough in the trade standoff is not expected.

CURRENCY: The dollar edged up to 112.59 yen from Monday's 112.53 yen.

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