July 18 (UPI) — U.S. markets declined Monday with losses accelerating after a report that Apple plans to slow hiring and cut spending.
The Dow Jones Industrial Average fell 215.65 points, or 0.69%, while the S&P 500 dropped 0.84% and the Nasdaq Composite closed down 0.81%.
Markets pulled back at the end of the day after Bloomberg reported that Apple would slow hiring and spending growth in the upcoming year as some divisions of the company deal with potential economic downturn.
Shares of Apple stock closed down 2.06% after the news.
“When Apple, a $2.4 trillion company market cap-wise rolls over, it’s obviously going to have a pronounced impact on the headline indices and it just reminds people that companies are buckling down because of what they’re seeing out there,” said Peter Boockvar, chief investment officer at Bleakley Advisory Group, according to CNBC.
Shares of Google parent, Alphabet, declined 2.46% Monday.
Stocks were higher earlier in the day as Goldman Sachs posted better-than-expected earnings and revenue, despite CEO David Solomon saying during an earnings call that inflation is “deeply entrenched” in the economy.
Shares rose 2.51% to close the day following the report.
Conversely, Bank of America eked out a 0.031% gain after it reported that profits fell 34% due to a decline in investment banking revenue.
More than 70 companies are scheduled to share earnings results this week, including big tech names like Netflix after the bell Tuesday, Tesla after markets close on Wednesday and Twitter before the start of trading Friday.