Nov. 13 (UPI) — The Dow Jones Industrial Average fell more than 600 points Monday as major tech stocks faltered.
The Dow was down 602 points or about 2 percent when trading closed Monday, while the S&P 500 fell 2 percent and the Nasdaq composite dropped 2.8 percent.
Apple drove the decline in the tech sector after one of its key suppliers, Lumentum, said it would cut its outlook for the second quarter of 2019 due to lower predicted production volume for one of its major clients.
Concern over demand for Apple’s iPhone line caused the company’s stock to fall 5 percent Monday.
Goldman Sachs stock fell more than 7 percent amid reports Malaysia would seek to have the investment firm pay a multimillion-dollar refund for its role in the 1Malaysia Development Berhad money-laundering scandal.
General Electric also experienced its fourth consecutive decline and tobacco stocks plummeted amid reports the Food and Drug Administration was considering a ban on menthol cigarettes.
The unease in the market also resulted in a drop in U.S. crude oil and an increase in the dollar.
“The price of oil has re-entered into a bear market, suggesting that demand from the global economy has weakened as the trade war hits the global economy,” Peter Cardillo, chief market economist at Spartan Capital, told NBC News.
Monday’s decline followed a difficult month of October that saw the Dow lose 5 percent and the Nasdaq fall 9 percent.