Dow drops triple digit Apple draws on index experts on what's next

It was a sour day for stocks.

Apple shares drove 2% on Monday after a downgrade of Rosenblatt Securities analysts, predicting stocks could look up to a year of "deterioration". The move weighed heavily on the major averages, including Dow, which dropped more than 100 points.

Experts, including analysts covering Apple, worry there may be more pain for both the stock market and the iPhone manufacturer.

Here's what five of them said Monday:

JP Morgan's global research leader, Joyce Chang, predicted two key strokes of the Federal Reserve this year in response to economic data depreciation:

"We believe the Fed should Moving twice, in July and September, because the Concerns of Business Feelings are still fluctuating, looking at other quarterly data and even the third quarter, we still have some worrying concerns about capex and business sentiment. .. We see 25 base points in July and September. "

Savita Subramanian, Bank of America Merrill Lynch's US equity strategy leader, also did not take out two interest rate cutouts from the table:

" We see trends in the economy that are not necessarily is consistent with an environment where the Fed will be able to keep on the move or even hike prices later this year, so I think it's reasonable to expect two cuts this year. "

Chris Caso, Apple Analyst on Raymond James, the tech giant said could see basic improvement but not anytime soon:

"It's actually powered by the iPhone cycle. The last year's cycle was not very convincing. This year's cycle, as we expect, will not be very different. So, a little more of the same this year. What we hope for when you enter 2020 is that maybe 5G is starting to be a catalyst for the shares. But you must first come through the cycle first. "

Tom Forte from DA Davidson, another Apple analyst, said that the iPhone manufacturer had some fixes to do before he took off:

" The way I would think about the iPhone is really, I think it's going to become much nicer up after 2020 because 2020 iPhone should have 5G. So I think expectations go into years should be quite modest. And then, on the front of the service, Apple's great opportunity is to diversify its revenue from 60% as it generates in smartphones today. "

MSA Capital Managing Partner Ben Harburg said that in general, the United States China trade war that weighed on Apple and US stocks ̵[ads1]1; and in many ways has called for a price decline – may have a largely unexpected result:

" long term this is all for China's advantage. I think the next couple of years will be difficult as companies face uncertainty, but in the long run it has been developed as indigenous industries, as new technology markets are reversed by Chinese technology companies, that's where growth is going to be. And China's construction product [s] for the next billion better than I think, US businesses today. "


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