Investors Punish U.S. Companies Vulnerable to China Slowdown
- Apple warning on sales abroad not limited to iPhone maker
- Auto parts supplier, chipmakers and multinationals suffer
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In the wake of Apple Inc.’s revenue warning, investors are finding that exposure to China is not all it’s cracked up to be.
The unexpected revision late Wednesday is weighing heavily on China-exposed companies across sectors that have already been struggling to cope with trade war uncertainties. To top that off, Kevin Hassett, chairman of the White House Council of Economic Advisers, cautioned Thursday that more U.S. companies can be expected to lower earnings forecasts as the softer Chinese economy cuts into their sales.