Apple's shares are down more than 10 percent since April. Investors fear the stock selloff in China will sap demand there for iPhones. Fred Katayama reports.
Apple is suffering its longest losing streak since January, pressured by the plunge in Chinese stocks. Its shares have fallen for five straight sessions, and they're down more than 10 percent from their peak in April --what traders term a "correction." They've fallen to a point just above a key technical level that would signal a downtrend if breached. Investors are concerned that the huge 25 percent fall in Chinese equities since mid-June will sap consumer demand and hurt sales of iPhones. China is a key market because Apple sold more iPhones there than in the U.S. for the first time in the first quarter this year. Pressure also coming from its archrival. A source says Samsung will move up the launch of its new Galaxy Note phablet to mid-August from its typical September introductions. That would likely put the Galaxy on store shelves ahead of the next iPhone since Apple usually unveils its new phones in mid-September. Apple seems bullish about sales prospects; the Wall Street Journal reported this week that the company is significantly ramping up initial production of its refreshed phones. Apple's shares bouncing back in early trading, reflecting the rebound in the Chinese and U.S. markets Friday.