CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Please ensure you fully understand the risks involved. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Please ensure you fully understand the risks involved.

Nasdaq 100: Apple shares down as Foxxcon disruption continues

The disruption at Apple’s iPhone facility in China continues to be a headache for the business, with production expected to be down for the important Christmas period.

Apple Source: Bloomberg

Apple shares down

There are plenty of problems for Apple and its iPhone production at its Chinese factory.

In particular Foxconn, the Zhengzhou plant's November shipments are expected to fall further, according to a report out from Reuters today. It's all about worker unhappiness. There have been riots at the plants. The plant doesn't employ enough people to continue to produce iPhones at the rate that Apple has requested.

Over 20,000 workers, according to reports, have left the plant. And this isn't a flagship iPhone plant for Apple. And China is very much underperforming the plans that Apple had for this particular site. And the site is the only factory where iPhone makes these premium iPhone models, including the iPhone 14 Pro, and it's unlikely to resume full production, according to Reuters, by the end of this month.

Share price chart

In fact, if you look at the Apple share price, there hasn't really been much move today. The stock is currently down all sessions on the IG platform. This is before US markets get under way today. It was no trade yesterday because of the Thanksgiving Day holiday. But we can see in terms of the movement in the session, in today's trade, we are down by a margin of just about about two thirds of 1%.

So not much move, but the news is not particularly good. And unless Apple can get some sort of resolution to this really quickly, there will be further problems.

Part of this is the fact that workers have been given what they perceive to be very difficult conditions in which to work because of the Zero-Covid policy. But at the moment at least, Apple is having continuing problems with the iPhone production in China.

Apple daily chart

Source: IG

This information has been prepared by IG, a trading name of IG Australia Pty Ltd. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.

Seize a share opportunity today

Go long or short on thousands of international stocks.

  • Increase your market exposure with leverage
  • Get commission from just 0.08% on major global shares
  • Trade CFDs straight into order books with direct market access

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.