In the wake of an unexpected drop in iPhone demand, futures are setting up for a bigger decline on Wednesday, following Tuesday's late rally that fizzled after market liquidity dried up.
Rather than doubling assembly of iPhone 14 models in the second half, Apple is telling suppliers to stick to a flat 90M-handset forecast for the second half, Bloomberg reports.
The Dow Jones futures fell 0.7%, the S&P 500 futures fell 0.9%, and the Nasdaq futures fell 1.1%.
Ten-year Treasury yields have cracked the 4% barrier for the first time since 2010, while 2-year Treasury yields have reached 4.295%.
Apple boosted projections as it awaited the iPhone 14 launch, and suppliers began preparing for an increase in orders of 7%. The report claims that Apple is reversing course after the anticipated demand did not materialize.
A supplier is shifting capacity to the higher-end models in response to increased demand for the iPhone 14 Pro.
As Apple diversifies away from China, it has confirmed it will move iPhone production to India.