Weak Apple shares hit Nasdaq as US stocks fall

US stocks dipped lower on Thursday, with the Nasdaq breaking a four-day streak of gains, after Apple stock fell by its biggest daily percentage decline since June 24th.
The Apple logo is seen on the outside of Bill Graham Civic Auditorium before the start of an event in San Francisco, California on Sept 7, 2016.
The Apple logo is seen on the outside of Bill Graham Civic Auditorium before the start of an event in San Francisco, California on Sept 7, 2016. PHOTO: AFP

NEW YORK (AFP) - Slumping Apple shares hit the tech-rich Nasdaq on Thursday (Sept 8), snapping a two-day streak of record highs as US markets broadly finished lower.

Apple's 2.6 per cent decline came one day after the technology giant unveiled new iPhones and a second-generation Apple Watch that drew mixed reviews.

The Nasdaq Composite Index lost 0.5 per cent at 5,259.48.

The Dow Jones Industrial Average fell 0.3 per cent to 18,479.91, while the broad-based S&P 500 dropped 0.2 per cent to 2,181.30.

"I think the story of the day were the reactions to the iPhone7," said Mace Blicksilver of Marblehead Asset Management. "More than anything else it put Nasdaq in a depressed mood."

Twitter meanwhile sank 5.9 per cent ahead of a board meeting as doubts rose about reports that surfaced last week that the company could be ready to entertain a takeover proposal.

Petroleum-linked stocks rose with oil prices. Dow member ExxonMobil gained 0.9 per cent, Halliburton 1.3 per cent and Devon Energy 2.4 per cent.

Dow member Nike dropped 2.7 per cent after PiperJaffray downgraded the athletic footwear and apparel giant, citing rising competition from Adidas, Puma and other brands in Europe.

Walgreens Boots Alliance rose 2.2 per cent and Rite Aid 5.9 per cent after Walgreens Boots said it expects its acquisition of its smaller drugstore chain rival to close in the second half of 2016. Walgreens Boots expects to sell between 500 and 1,000 stores to win regulatory approval.

Tractor Supply Company slumped 16.9 per cent after forecasting that third-quarter comparable store sales would be from flat to a decline of 1 per cent.