US stocks fall as Huawei ban fallout hits tech shares
- S&P 500 technology stocks dropped 1.75 per cent, the largest percentage decline among the benchmark index’s 11 major sectors
- Apple shares slumped 3.1 per cent, making them the biggest drag on Wall Street’s major indices
US stocks slid on Monday as the White House’s restrictions on Chinese telecoms equipment maker Huawei Technologies weighed on the technology sector and raised concerns that the move would further inflame trade tensions between the United States and China.
Alphabet Inc’s Google has moved to stop providing Huawei with access to its proprietary apps and services. Mobile phone parts producer Lumentum Holdings also announced that it has discontinued shipments to Huawei.
Other chip makers, including Intel, Qualcomm, Xilinx and Broadcom, will not supply the Chinese company until further notice, according to a Bloomberg report.
S&P 500 technology stocks dropped 1.75 per cent, the largest percentage decline among the benchmark index’s 11 major sectors. The Philadelphia Semiconductor Index, which includes Huawei suppliers Qualcomm, Broadcom and Micron Technology, tumbled 4 per cent to hit its lowest level in more than two months.