World stocks end a strong week with losses as Apple shares skid

Published: November 03, 2018 13:26:35 | Updated: November 05, 2018 15:39:42

World stocks ended a strong week on Friday, while US stocks slipped as Apple absorbed its worst loss in more than four years.

Apple forecast weak revenue in the current quarter and startled investors by saying it will stop disclosing quarterly iPhone sales. That pulled technology stocks lower.

Apple sagged 6.6 per cent to $207.48. Chipmakers also fell. Qorvo lost 5.7 per cent to $74 and Broadcom fell 4 per cent to $220.77.

Bond yields surged following the US strong jobs report as investors bet on continued economic growth, which would push the Federal Reserve to raise interest rates more quickly.

The S&P 500 index slid 17.31 points, or 0.6 per cent, to 2,723.06. The Dow Jones Industrial Average fell 109.91 points, or 0.4 per cent, to 25,270.83.

The Nasdaq composite lost 77.06 points, or 1 per cent, to 7,356.99. The Russell 2000 index of smaller-company stocks rose 3 points, or 0.2 per cent, to 1,547.98, reports AP.

Stocks had surged over the previous three days and finished the week 2.4 per cent higher. They skidded in October, suffering their worst monthly loss in seven years.

The S&P 500 will have to rise another 7.6 per cent to match the all-time high it reached on Sept. 20.

Bond prices dropped, sending yields sharply higher. The yield on the 10-year Treasury note jumped to 3.22 per cent, from 3.14 per cent.

Germany’s DAX rose 0.4 per cent and the CAC 40 in France added 0.3 per cent. Britain’s FTSE 100 fell 0.3 per cent.

The Hang Seng index in Hong Kong soared 4.2 per cent and Japan’s Nikkei 225 index surged 2.6 per cent while South Korea’s Kospi climbed 3.5 per cent.

Starbucks’ sales were better than expected. The stock jumped 9.7 per cent to $64.42, its biggest gain since 2011.

The dollar rose to 113.28 yen from 112.69 yen. The euro slipped to $1.1398 from $1.1409.

Oil prices continued to slip. Benchmark US crude fell 0.9 per cent to $63.14 a barrel in New York and Brent crude shed 0.1 per cent to $72.83 a barrel in London.

Wholesale gasoline lost 0.5 per cent to $1.71 a gallon and heating oil fell 1.3 per cent to $2.17 a gallon. Natural gas rose 1.5 per cent to $3.28 per 1,000 cubic feet.

Gold fell 0.4 per cent to $1,233.30 an ounce. Silver dipped 0.1 per cent to $14.75 an ounce. Copper climbed 3.1 per cent to $2.81 a pound.

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