NEW YORK — Stocks went into a steep slide Thursday after Apple sent a shudder through Wall Street with word that iPhone sales in China are falling.

The rare warning of disappointing results from Apple reinforced investors’ fears that the world’s second-biggest economy is losing steam and that trade tensions between Washington and Beijing are making things worse.

The Dow Jones Industrial Average plunged as much as 677 points about an hour into trading, then began climbing back, but was still down more than 550 points at midafternoon. The broader S&P 500 index was down 2 per cent.

Apple stock plummeted 9.5 per cent, erasing $71 billion in value. Other big exporters, including technology and heavy-machinery companies, also took big losses. Some of the worst drops were at chipmakers that make components used in smartphones and other gadgets.

“For a while now there’s been an adage in the markets that as long as Apple was doing fine, everyone else would be OK,” said Neil Wilson, chief markets analyst at Markets.com. “Therefore, Apple’s rare profit warning is a red flag for market watchers. The question is to what extent this is more Apple-specific.”

Investors were also unsettled by a report Thursday that showed signs of weakness in U.S. manufacturing.

The U.S.-China trade dispute threatens to snarl multinational companies’ supply lines and reduce demand for their products. Companies such as General Motors, Caterpillar and Daimler have all said recently that trade tensions, combined with slower growth in China, were damaging their businesses.

“When the largest and second-largest economies in the world get into a trade dispute, the rest of the world’s going to feel the effects. That’s what we’re seeing now,” said Jack Ablin, chief investment officer of Cresset Wealth Advisors.

In a letter to shareholders Wednesday, Apple CEO Tim Cook said iPhone demand is waning in China and would hurt revenue for the October-December quarter. Cook said Apple expects revenue of $84 billion for the quarter. That’s $7 billion less than analysts expected.

Apple’s warning couldn’t have come at a worse time for stocks given the wipeout in late 2018. Many global indexes posted their worst year in a decade amid concerns about the global economy and the prospect of further U.S. interest rate increases.

As of 2 p.m., the S&P 500 was down 50 points to 2,459. The Dow had slid 571 points, or 2.5 per cent, to 22,774. The Nasdaq, which has a high concentration of tech stocks, retreated 170 points, or 2.6 per cent, to 6,495.

U.S. government bond prices jumped, sending yields to their lowest level in almost a year, and gold and high-dividend stocks like utilities also rose as investors looked for safer places to put their money.

A weak report Thursday on U.S. manufacturing also weighed on the market. The Institute for Supply Management said its index of manufacturing fell to its lowest level in two years, and new orders have fallen sharply since November. Manufacturing is still growing, but at a slower pace than it has recently.

Apple stock has slumped 37.5 per cent since early October. The company also recently announced that it would stop disclosing how many iPhones it sold each quarter, a move many investors suspected was an attempt to hide bad news.

Apple stock took its biggest loss in six years Thursday and was down to $142.94 in afternoon trading. Microsoft shed 3.1 per cent to $97.95. Among chip makers, Intel fell 4.5 per cent to $44.98.

Among big industrial companies, Caterpillar gave up 3.2 per cent to $122.35, and Deere lost 2.1 per cent to $145.03. Boeing, which sells many of its planes to China, declined 4.1 per cent to $310.58.

Companies that make heavy machinery such as construction equipment are facing less demand as China’s economy, the largest in the world after the U.S., loses strength. They are also dealing with higher costs for metals as a result of tariffs.

Markets overseas also stumbled. Germany’s DAX dropped 1.5 per cent and the French CAC 40 fell 1.7 per cent, and Britain’s FTSE 100 gave up 0.6 per cent. In Asia, tech-related stocks suffered most. South Korea’s Kospi ended 0.8 per cent lower and Hong Kong’s Hang Seng gave up 0.3 per cent.

Oil prices edged higher. U.S. crude rose 0.4 per cent to $46.71 a barrel in New York and Brent crude rose 1.1 per cent to $55.50 a barrel in London. Oil prices have nosedived almost 40 per cent since early October, and investors’ fears about falling demand in China and elsewhere were a key reason for the decline.

The dollar weakened. It fell to 107.84 yen from 109.21 yen. The euro rose to $1.403 from $1.344. The British pound fell to $1.2638 from $1.2690.

Gold climbed 0.8 per cent to $1,294.80 an ounce. Silver rose 0.9 per cent to $15.80 an ounce. Copper, which is used in construction and wiring, fell 2.1 per cent to $2.57 a pound.

Pan Pylas contributed to this story from London.

AP Markets Writer Marley Jay can be reached at http://twitter.com/MarleyJayAP </s> NEW YORK — Stocks are sinking again after the U.S. and China each announced tariffs on goods exported by the other, a move that increased investors’ worries over a trade dispute that could slow down global commerce. The Dow Jones industrial average fell as much as 501 points as industrial and large technology companies took some of the worst losses.

The Chinese government issued a $50 billion list of more than 100 U.S. goods including soybeans, the largest U.S. export to China, and aircraft targeted for a possible 25 percent tariff hike. The duties could drive up costs for companies that make airplanes and machinery as well as airlines, and automakers are targets as well. Beijing’s list reflects its sensitivity to American complaints that it pressures foreign companies to hand over technology.

The Chinese Commerce Ministry said the date the tariff hikes take effect depends on whether the U.S. actually moves to raise its duties. Late Tuesday the Trump administration outlined proposed tariffs on a similar amount of Chinese goods. It released a list of 1,300 imported Chinese products, including industrial robots and telecoms gear, to protest Beijing’s alleged theft of U.S. technology. China’s envoy to the WTO said Beijing would challenge the U.S. moves.

The S&P 500 index fell 31 points, or 1.2 percent, to 2,582 as of 9:45 a.m. Eastern time. The Dow Jones industrial average dropped 428 points, or 1.8 percent, to 23,605. The Nasdaq composite declined 85 points, or 1.2 percent, to 6,856. The Russell 2000 index of smaller-company stocks retreated 14 points, or 1 percent, to 1,497.

Industrial companies were rocked. Aerospace company Boeing shed $14.07, or 4.3 percent, to $316.75. Farm equipment maker Deere lost $7.35, or 4.8 percent, to $145.69 and construction equipment maker Caterpillar fell $4.82, or 3.3 percent, to $140.24. Large technology companies also struggled. They led the market higher throughout 2017 and 2018 but have fallen out of favor during the recent turmoil. Facebook slid $3.35, or 2.1 percent, to $152.76 and Microsoft sank $1.40, or 1.6 percent, to $88.31. Online retailer Amazon gave up $26.81, or 1.9 percent, to $1,364.85.

European stocks also fell sharply. Germany’s DAX fell 1.2 percent while France’s CAC 40 was down 0.9 percent. The FTSE 100 in Britain was 0.5 percent lower.

Hong Kong’s Hang Seng slumped 2.2 percent with the decline accelerating in the final minutes of trading after Beijing announced specifics of its tariff hikes. Most other Asian indexes had closed when China announced its response to the U.S. tariff plans. Japan’s benchmark Nikkei 225 crept 0.1 percent higher but South Korea’s Kospi slid 1.4 percent as the won weakened from the 3 ½ year high it touched against the dollar earlier this week.

After a big drop Monday and a recovery Tuesday, the S&P 500 is down more than 2 percent this week. It’s down almost 5 percent since March 1 as investors have focused on tariffs as well as controversies surrounding technology companies including Facebook.

Bond prices were little changed. The yield on the 10-year Treasury note held steady at 2.77 percent. The price of gold jumped 0.7 percent, to $1,347.20 an ounce.

The dollar slipped to 106.34 yen from 106.61 yen. The euro rose to $1.2295 from $1.2267.

A barrel of U.S. crude fell $1.28, or 2 percent, to $62.23 a barrel in New York while Brent crude, used to price international oils, fell $.05, or 1.5 percent, to $67.07 a barrel in London. </s> (NEW YORK ) — Another increase in trade tensions has stocks falling sharply Friday as the U.S. considers an even larger set of tariffs on imports from China and the two countries exchange pointed statements. Technology companies and banks are taking some of the worst losses.

Stocks have changed direction again and again this week as investors tried to get a sense of whether a trade dispute between the two nations will escalate, an outcome that could have major consequences for the global economy. The market didn’t get any help from a March jobs report that was weaker than expected.

The Dow Jones industrial average fell dropped 581 points, or 2.4 percent, to 23,916 as of 2:15 p.m. Eastern time. Earlier it fell as much as 620 points.

The S&P 500, which many index funds track, lost 53 points, or 2 percent, to 2,608. The Nasdaq composite slid 135 points, or 1.9 percent, to 6,940. The Russell 2000 index of smaller-company stocks dipped 29 points, or 1.9 percent, to 1,513.

The Dow average, which contains numerous multinational companies including industrial powerhouses Boeing and Caterpillar, has swung dramatically this week, with about 1,300 points separating its highest and lowest marks. It fell as much as 758 points Monday, then recovered all of those losses, and late Thursday it was up as much as 519 points for the week. It’s down 0.7 percent for the week.

The administration spent the past few days reassuring investors that it’s not rushing into a trade war, and China’s government has done the same. But late Thursday, President Donald Trump ordered the U.S. Trade Representative to consider placing tariffs on $100 billion in duties on Chinese imports. China said it would “counterattack with great strength” if he that happens.

Stocks dipped further after Trump criticized the World Trade Organization on Twitter Friday morning.

At the start of the week, the U.S. announced plans to put tariffs on $50 billion in goods imported from China, and the Chinese government responded with measures of equal size. Stocks plunged on Monday, but they rallied over the next few days as officials from both countries said they were open to talks and that the tariffs might never go into effect.

With administration officials sounding conciliatory one day and more hostile the next and the president always quick to fire off another tweet, investors simply don’t know what the U.S. wants to achieve, said Katie Nixon, chief investment officer for Northern Trust Wealth Management.

“The process itself seems to be quite chaotic,” she said. “We’re not quite sure what the long term strategy is.”

Still, she said businesses support the idea of making changes in America’s trade relationship with China. But even though investors are optimistic about the state of the global economy and company profits continue to grow, Nixon said the administration is creating the thing investors hate the most: uncertainty.

Technology companies make a lot of their sales in Asia and they have struggled as Wall Street worries about a slowdown in global economic growth. Optimism about the world economy has helped many tech companies make huge gains in the last year.

Apple skidded $3.46, or 2 percent, to $169.34 and Cisco Systems declined 98 cents, or 2.4 percent, to $40.84. PayPal dipped $2.63, or 3.4 percent, to $74.32.

Industrial companies might face the worst pain from tariffs, as they could find themselves dealing with higher costs for components imported into the U.S. while the duties on their goods in China harm their sales.

Caterpillar, a construction equipment maker, shed $584, or 3.9 percent, to $142.29 while farm equipment company Deere sank $5.56, or 3.7 percent, to $145.79. Aerospace giant Boeing dipped $12.20, or 3.6 percent, to $324.20.

Health care companies also declined. Johnson & Johnson sank $2.99, or 2.3 percent, to $127.72 and health insurer UnitedHealth dropped $59, or 2.6 percent, to $223.18.

Employers added 103,000 jobs in March, which is weaker than the last few months. The Labor Department also said fewer jobs were added in January and February that it initially estimated. The unemployment rate remained low and the job market looks fundamentally healthy, but it’s possible some employers are struggling to find workers.

Benchmark U.S. crude dropped $1.17, or 1.8 percent, to $62.37 a barrel in New York while Brent crude, used to price international oils, lost 92 cents, or 1.3 percent, to $67.41 per barrel in London. Oil prices have also been volatile this week, as investors wonder if an increase in trade tensions will reduce demand for oil by slowing down the global economy.

Bond prices rose, sending yields lower. The yield on the 10-year Treasury fell to 2.78 percent from 2.83 percent. The lower yields mean banks can’t make as much money from lending, and that send bank stocks lower. JPMorgan Chase fell $3.23, or 2.9 percent, to $108.65 and BB&T lost $1.89, or 3.6 percent, to $51.

Gold rose $7.60 to $1,336.10 an ounce. Silver edged up 1 cent to $16.36 an ounce. Copper fell 2 cents to $3.06 a pound.

The dollar fell to 106.86 yen from 107.12 yen. The euro rose to $1.2287 from $1.2256.

Germany’s DAX was down 0.5 percent while France’s CAC-40 fell 0.3 percent lower. The FTSE 100 in Britain lost 0.2 percent.

Japan’s benchmark Nikkei 225 index dipped 0.4 percent while South Korea’s Kospi slipped 0.3 percent but Hong Kong’s Hang Seng rose 1.1 percent after trading resumed following a holiday as investors caught up with the previous day’s global gains. </s> The Western Journal has not reviewed this Associated Press story prior to publication. Therefore, it may contain editorial bias or may in some other way not meet our normal editorial standards. It is provided to our readers as a service from The Western Journal.

NEW YORK (AP) — Stocks went into a steep slide Thursday after Apple sent a shudder through Wall Street with word that iPhone sales in China are falling.

The rare warning of disappointing results from Apple reinforced investors’ fears that the world’s second-biggest economy is losing steam and that trade tensions between Washington and Beijing are making things worse.

The Dow Jones Industrial Average plunged as much as 677 points about an hour into trading, then began climbing back, but was still down more than 600 points at 3 p.m. The broader S&P 500 index was down 2.2 percent.

Apple stock plummeted 9.7 percent, erasing $72 billion in value. Other big exporters, including technology and heavy-machinery companies, also took big losses. Some of the worst drops were at chipmakers that make components used in smartphones and other gadgets.

“For a while now there’s been an adage in the markets that as long as Apple was doing fine, everyone else would be OK,” said Neil Wilson, chief markets analyst at Markets.com. “Therefore, Apple’s rare profit warning is a red flag for market watchers. The question is to what extent this is more Apple-specific.”

Investors were also unsettled by a report Thursday that showed signs of weakness in U.S. manufacturing.

The U.S.-China trade dispute threatens to snarl multinational companies’ supply lines and reduce demand for their products. Companies such as General Motors, Caterpillar and Daimler have all said recently that trade tensions, combined with slower growth in China, were damaging their businesses.

“When the largest and second-largest economies in the world get into a trade dispute, the rest of the world’s going to feel the effects. That’s what we’re seeing now,” said Jack Ablin, chief investment officer of Cresset Wealth Advisors.

In a letter to shareholders Wednesday, Apple CEO Tim Cook said iPhone demand is waning in China and would hurt revenue for the October-December quarter. Cook said Apple expects revenue of $84 billion for the quarter. That’s $7 billion less than analysts expected.

Cook’s comments echoed the concerns that have pushed investors to sell stocks over the last three months. Markets were wiped out in late 2018 and many global indexes posted their worst year in a decade amid concerns about the global economy and the prospect of further U.S. interest rate increases.

The S&P 500 was down 54 points to 2,455. The Dow slid 602 points, or 2.6 percent, to 22,743. The Nasdaq, which has a high concentration of tech stocks, retreated 180 points, or 2.7 percent, to 6,485.

U.S. government bond prices jumped, sending yields to their lowest level in almost a year, and gold and high-dividend stocks like utilities also rose as investors looked for safer places to put their money.

A weak report Thursday on U.S. manufacturing also weighed on the market. The Institute for Supply Management said its index of manufacturing fell to its lowest level in two years, and new orders have fallen sharply since November. Manufacturing is still growing, but at a slower pace than it has recently.

Apple’s stock has slumped 38 percent since early October. The company also recently announced that it would stop disclosing how many iPhones it sold each quarter, a move many investors suspected was an attempt to hide bad news.

Apple took its biggest loss in six years Thursday and was down to $142.66 in afternoon trading. Microsoft shed 3.3 percent to $97.79. Among chip makers, Intel fell 4.8 percent to $44.80.

Among big industrial companies, Caterpillar gave up 3.8 percent to $121.64, and Deere lost 2.4 percent to $144.52. Boeing, which sells many of its planes to China, declined 3.9 percent to $311.02.

Companies that make heavy machinery such as construction equipment are facing less demand as China’s economy, the largest in the world after the U.S., loses strength. They are also dealing with higher costs for metals as a result of tariffs.

Markets overseas also stumbled. Germany’s DAX dropped 1.5 percent and the French CAC 40 fell 1.7 percent, and Britain’s FTSE 100 gave up 0.6 percent. In Asia, tech-related stocks suffered most. South Korea’s Kospi ended 0.8 percent lower and Hong Kong’s Hang Seng gave up 0.3 percent.

Oil prices edged higher. U.S. crude rose 1.2 percent to $47.09 a barrel in New York and Brent crude rose 1.9 percent to $55.95 a barrel in London. Oil prices have nosedived almost 40 percent since early October, and investors’ fears about falling demand in China and elsewhere were a key reason for the decline.

The dollar weakened. It fell to 107.78 yen from 109.21 yen. The euro rose to $1.1394 from $1.344. The British pound fell to $1.2633 from $1.2690.

Gold climbed 0.8 percent to $1,294.80 an ounce. Silver rose 0.9 percent to $15.80 an ounce. Copper, which is used in construction and wiring, fell 2.1 percent to $2.57 a pound.

In other commodities trading, wholesale gasoline rose 1.8 percent to $1.35 a gallon and heating oil climbed 2.4 percent to $1.74 a gallon. Natural gas fell 0.4 percent to $2.95 per 1,000 cubic feet.

Pan Pylas contributed to this story from London.

AP Markets Writer Marley Jay can be reached at http://twitter.com/MarleyJayAP

The Associated Press contributed to this report.

We are committed to truth and accuracy in all of our journalism. Read our editorial standards. </s> April 6 (Reuters) - U.S. stock futures dropped on Friday after the United States and China renewed their trade spat, underpinning fears that the tit-for-tat actions could spiral into a trade war, and ahead of a closely watched monthly jobs data.

Globally, stock markets edged downward after President Donald Trump threatened to slap an additional $100 billion in tariffs on Chinese goods and Beijing warned it would fight back "at any cost" with fresh trade measures.

At 7:30 a.m. ET, Dow e-minis were down 206 points, or 0.84 percent. S&P 500 e-minis were down 21.25 points, or 0.80 percent. Nasdaq 100 e-minis were down 62 points, or 0.94 percent.

Shares of Boeing, the single largest U.S. exporter to China, fell 2.4 percent, leading the losses among big U.S. manufacturers. Caterpillar fell 2.1 percent and Deere dropped 1.2 percent.

Twenty-nine of the 30 Dow Jones Industrial Average components were trading premarket - all in the red. More than 110 S&P 500 stocks were lower, led by chipmakers, which as a group rely on China for about a quarter of their revenue.

Facebook, Amazon, Netflix and Alphabet - the FANG group - were down between 1.3 percent and 2.3 percent, while Apple fell 1.5 percent. These stocks have a heavy influence on major indexes.

The list of decliners were similar to Wednesday, when the United States and China announced tariffs on $50 billion of each others' imports.

After being roiled for most of that day, Wall Street staged a strong comeback to close higher after Trump's top economic adviser Larry Kudlow said the administration was in a "negotiation" with China rather than a trade war.

Trump's latest salvo injected a fresh dose of nervousness into the market, already jittery ahead of U.S. jobs data for March for indications of economic health and the future path of interest rate hikes.

Nonfarm payrolls probably increased by 193,000 jobs last month, according to a Reuters survey of economists, lower than the 313,000 increase in February and the 242,000 average of the past three months. The data is due at 8:30 a.m ET (1230 GMT).

The unemployment rate is forecast to fall to 4 percent. Average hourly earnings are expected to have risen, with the annual increase rising to 2.7 percent, but staying below the 3-percent that economists say is needed to lift inflation toward the Federal Reserve's 2-percent target.

Recent economic data has indicated an improving economy, which, coupled with the U.S. tax overhaul, has boosted investors optimism about the upcoming earnings season. First-quarter earnings growth is expected to be the highest in seven years.

Investors will also tune into Fed Chairman Jerome Powell's speech at an event later in the day for signs the central bank could raise rates more than the expected two more times this year. (Reporting by Sruthi Shankar in Bengaluru; Editing by Sriraj Kalluvila) </s> (Reuters) - U.S. stock index futures tumbled on Thursday after Apple Inc (AAPL.O) stunned investors with a rare sales warning that inflamed fears that the Sino-U.S. trade war and a slowing China economy would eat into corporate profits more than expected.

Apple’s shares sank 8.2 percent before the bell after the company slashed its holiday-quarter revenue forecast due to slowing iPhone sales in China, the first major warning with the U.S. earnings season around the corner.

“This provides solid evidence of how slowing economic growth and a trade war make the best death cocktail for sentiment,” said Naeem Aslam, chief market analyst at Think Markets UK Ltd in London.

The warning from Apple, whose stock is a member of all the three major Wall Street indexes, rocked financial markets, as investors sought safety in bonds and less risky assets.

At 7:49 a.m. ET, Dow e-minis 1YMc1 were down 324 points, or 1.39 percent. S&P 500 e-minis ESc1 were down 34.25 points, or 1.36 percent and Nasdaq 100 e-minis NQc1 were down 134 points, or 2.1 percent.

Apple’s slide is a gloomy omen for Wall Street bulls hoping for an early gift in 2019 following December’s steep selloff, which President Donald Trump has called a “glitch”.

Though the selloff has made stocks cheaper, with the S&P 500’s valuation now at 14 times expected earnings from 18 times a year earlier, earnings estimates have also been sharply cut.

Analysts on average expect S&P 500 companies to increase their earnings per share by nearly 7 percent this year, down from a forecast of 10 percent at the start of October and far below their expectations of 24 percent EPS growth for 2018, according to Refinitiv’s IBES.

Apple’s warning on China has the potential to weigh heavily on a wide variety of companies, ranging from its suppliers to companies that rely on China for a major portion of their sales.

Chipmakers, which count both Apple and China as major customers, led the decliners in early premarket trading, with Intel Corp (INTC.O), Micron Technology Inc (MU.O) and Nvidia Corp NVDA falling between 2.3 percent and 4.6 percent.

Trade bellwethers Boeing Co (BA.N) and Caterpillar Inc (CAT.N) dropped over 2 percent.

The United States and China are about one month into a 90-day tariff ceasefire to negotiate a deal. President Donald Trump said on Wednesday the talks were going “very well” and that the stock market would rise once various trade deals are settled.

Apple’s warning follows data earlier this week that showed a deceleration in factory activity in China and the euro zone, indicating the ongoing trade dispute was taking a toll on global manufacturing.

The impact on U.S. activity will be clear later on Thursday. At 10 a.m. ET, the Institute of Supply Management is expected to report its index of national factory activity fell to a reading of 57.9 in December from 59.3 in November.

Before that, at 8:15 a.m. ET, the ADP National Employment Report is expected to show private payrolls rose by 178,000 jobs in December. The report comes ahead of the more comprehensive nonfarm payrolls report on Friday.

Among stocks, Celgene Corp (CELG.O) jumped 31.9 percent after Bristol-Myers Squibb Co (BMY.N) offered to buy the drugmaker for about $74 billion in a cash-and-stock deal. Bristol-Myers fell 13.6 percent. </s> NEW YORK (AP) — Stocks went into a steep slide Thursday morning after Apple reported a slowdown in iPhone sales over the holidays in China, a hugely important market for the company.

The rare warning of disappointing results from Apple sent a shudder through markets and reinforced fears among investors that the world's second-largest economy is weakening.

The Dow Jones Industrial Average fell more than 600 points about an hour into trading. The broader S&P 500 index was down 2.4 percent.

Apple's stock plunged 10 percent, erasing $67 billion in value. Other big exporters, including technology and machinery companies, also took big losses.

Some of the worst drops were at chipmakers that make components used in smartphones and other gadgets. The U.S.-China trade dispute, nearly a year old, threatens to snarl their supply lines and reduce demand for their products.

The losses deepened after a survey of U.S. manufacturers also showed signs of weakness.

In a letter to shareholders Wednesday, Apple CEO Tim Cook said iPhone demand is waning in China and would hurt revenue for the October-December quarter. Cook said Apple expects revenue of $84 billion for the quarter. That's $7 billion less than analysts expected.

The S&P 500 dropped 60 points to 2,449. The Dow slid 642, or 2.7 percent, to 22,707. The Nasdaq, which has a high concentration of tech stocks, retreated 185 points, or 2.8 percent, to 6,482.

"For a while now there's been an adage in the markets that as long as Apple was doing fine, everyone else would be OK," said Neil Wilson, chief markets analyst at Markets.com. "Therefore, Apple's rare profit warning is a red flag for market watchers. The question is to what extent this is more Apple-specific?"

Apple's warning couldn't have come at a worse time for stocks given the wipeout in late 2018. Many global indexes posted their worst year in a decade amid concerns about the global economy and the prospect of further U.S. interest rate increases.

A weak report Thursday on U.S. manufacturing also weighed on the market. The Institute for Supply Management said its index of manufacturing fell to its lowest level in two years, and new orders have fallen sharply since November. Manufacturing is still growing, but at a slower pace than it has recently.

U.S. government bond prices, gold and high-dividend stocks like utilities all rose as investors looked for safer places to put their money.

Apple stock has slumped 38 percent since early October amid fears of a slowdown in China. The company also recently announced that it would stop disclosing how many iPhones it sold each quarter, a move many investors suspected was an attempt to hid disappointing news.

Apple stock had fallen to $143.58 at mid-morning. Microsoft shed 1.6 percent to $99.46. In the chip industry, Intel fell 4.1 percent to $45.17, and Qualcomm lost 2.4 percent to $56.04, while Skyworks skidded 7.6 percent to $62.77.

Among big industrial companies, Caterpillar gave up 3.5 percent to $121.90, and Deere lost 2.5 percent to $144.93.

Companies that make heavy machinery such as construction equipment are facing less demand as China's economy, the largest in the world after the U.S., loses strength. They are also dealing with higher costs for metals as a result of import taxes.

Bonds prices jumped. The yield on the 10-year Treasury note fell to 2.58 percent from 2.66 percent late Wednesday, a large move.

Markets overseas held up a bit better. Germany's DAX and the French CAC 40 both fell 1.2 percent, and Britain's FTSE 100 dipped 0.2 percent. In Asia, tech-related stocks suffered most. South Korea's Kospi ended 0.8 percent lower and Hong Kong's Hang Seng gave up 0.3 percent.

Oil prices were little changed. U.S. crude stayed at $46.52 a barrel in New York and Brent crude rose 0.4 percent to $55.13 a barrel in London. Oil prices have nosedived almost 40 percent since early October, and investors' fears about falling demand in China and elsewhere were a key reason for the decline.

The dollar weakened. It fell to 107.46 yen from 109.21 yen. The euro rose to $1.1403 from $1.344. The British pound fell to $1.2596 from $1.2690.

Gold also rose, by 0.6 percent to $1,291 an ounce.

Some experts believe that the market volatility could eventually lead to changes in the policies that are worrying investors. The Federal Reserve, for example, could slow the pace of its interest rate increases if markets continue to drop. And President Donald Trump could become more open to settling the trade dispute with China.

"It is a well-known fact that Trump perceives the markets as a true barometer of his presidency," said Piotr Matys, a strategist at Rabobank International.

Pan Pylas contributed to this story from London.

AP Markets Writer Marley Jay can be reached at http://twitter.com/MarleyJayAP </s> NEW YORK (AP) — Stocks went into a steep slide Thursday morning after Apple reported a slowdown in iPhone sales over the holidays in China, a hugely important market for the company.

The rare warning from Apple sent a shudder through markets and confirmed fears among investors that the world's second-largest economy was weakening.

The Dow Jones Industrial Average fell more than 600 points about an hour into trading.

Apple's stock plunged 10 percent, erasing $67 billion in value. Other big exporters including technology and machinery companies also took big losses.

Some of the worst drops went to chipmakers that make components used in smartphones and other gadgets. The trade dispute, nearly a year old, threatens to snarl their supply lines and reduce demand for their products. Tariffs and other trade sanctions could add to their difficulties.

The losses deepened after a survey of U.S. manufacturers also showed signs of weakness. The benchmark S&P 500 index was down 2.4 percent as of 10:45 a.m.

In a letter to shareholders on Wednesday, Apple CEO Tim Cook said iPhone demand was waning in China and would hurt revenue for the October-December quarter. Cook said Apple expects revenue of $84 billion for the quarter. That's $7 billion less than analysts expected, according to FactSet.

Apple's warning, its first since 2002, deepened concerns about the Chinese economy, which had been showing signs of stress.

The S&P 500 dropped 60 points to 2,449. The Dow slid 642, or 2.7 percent to 22,707. The Nasdaq composite, which has a high concentration of tech stocks, retreated 185 points, or 2.8 percent, to 6,482.

"For a while now there's been an adage in the markets that as long as Apple was doing fine, everyone else would be OK," said Neil Wilson, chief markets analyst at Markets.com. "Therefore, Apple's rare profit warning is a red flag for market watchers. The question is to what extent this is more Apple-specific?"

Apple's warning couldn't have come at a worse time for stock market investors given the wipeout in late 2018, when many global indexes posted their worst performances in a decade amid concerns about the global economy and the prospect of further U.S. interest rate hikes.

A weak report on U.S. manufacturing was also weighing on the market. The Institute for Supply Management said its index of manufacturing fell to its lowest level in two years, and new orders have fallen sharply since November. Manufacturing is still growing, but at a slower pace than it has recently.

In times of market stress and volatility, there are some assets that traditionally do well as investors perceive them as safer to hold. U.S. government bond prices, gold and high-dividend stocks like utilities all rose.

Apple stock has slumped 38 percent since early October as investors feared a sales slowdown in China. The company also recently announced that it would stop disclosing how many iPhones it sold each quarter, and many investors felt that suggested the company was trying to hide signs that its sales were cooling off. Its stock fell to $143.58.

Other major tech companies have also taken huge losses over the last three months as the market endured its worst slump in almost a decade. While stocks rebounded slightly at the end of 2018, Apple's troubles added to their losses Thursday. Microsoft shed 1.6 percent to $99.46. In the chip industry, Intel fell 4.1 percent to $45.17 and Qualcomm lost 2.4 percent to $56.04 while Skyworks skidded 7.6 percent to $62.77.

Among big industrial companies, Caterpillar gave up 3.5 percent to $121.90 and Deere lost 2.5 percent to $144.93. Companies that make heavy machines like construction equipment are facing less demand as China's economy, the largest in the world after the U.S., loses strength. They're also dealing with higher costs for metals as a result of import taxes.

Bonds prices jumped. The yield on the 10-year Treasury note fell to 2.58 percent from 2.66 percent late Wednesday, a large move.

Markets overseas held up a bit better. Germany's DAX and the French CAC 40 both fell 1.2 percent, and Britain's FTSE 100 dipped 0.2 percent. In Asia, tech-related stocks suffered most. South Korea's Kospi ended 0.8 percent lower and Hong Kong's Hang Seng gave up 0.3 percent.

Oil prices were little changed. U.S. crude stayed at $46.52 a barrel in New York and Brent crude rose 0.4 percent to $55.13 a barrel in London. Oil prices have nosedived almost 40 percent since early October, and investors' fears about falling demand in China and elsewhere were a key reason for the decline.

The dollar weakened. It fell to 107.46 yen from 109.21 yen. The euro rose to $1.1403 from $1.344. The British pound fell to $1.2596 from $1.2690.

Gold also rose, by 0.6 percent to $1,291 an ounce.

Some experts believe that the market volatility could eventually lead to changes in the policies that are concerning investors. The Fed, for example, could slow the pace of its interest rate increases if markets continue to drop. And U.S. President Donald Trump could become more open to settling the trade dispute with China.

"It is a well-known fact that Trump perceives the markets as a true barometer of his presidency," said Piotr Matys, a strategist at Rabobank International.

Pan Pylas contributed to this story from London.

AP Markets Writer Marley Jay can be reached at http://twitter.com/MarleyJayAP </s> How the Dow Jones industrial average fared on Tuesday

U.S. stocks abruptly changed course again Tuesday and took large losses. Investors worried about the possibility of a weaker global economy and tried to anticipate the Federal Reserve's plans for interest rates. Energy companies fell with the price of oil after a leading industry group said demand for oil is down more than it previously thought.

The Dow Jones industrial average tumbled 258.32 points, or 1.4 percent, to 18,066.75.

The Standard & Poor's 500 index dropped 32.02 points, or 1.5 percent, to 2,127.02.

The Nasdaq composite shed 56.63 points, or 1.1 percent, to 5,155.25.

The Dow is down 18.70 points, or 0.1 percent.

The S&P 500 is down 0.79 points, or 0.04 percent.

The Nasdaq is up 29.35 points, or 0.6 percent.

The Dow is up 641.72 points, or 3.7 percent.

The S&P 500 is up 83.08 points, or 4.1 percent.

The Nasdaq is up 147.84 points, or 3 percent.
The Dow Jones Industrial Average drops 660 points following a warning from Apple on weak demand and trade relations between the United States and China.