Tech News Dominates
The broad indexes ended mixed, with the action dominated by technology names, after the Wall Street Journal reported on Sunday that Apple ( AAPL) had reduced its orders for iPhone 5 components amid slower-than-expected demand, citing unnamed sources. Apple's shares were down 4% to close at $501.75. The company will announce its results for its fiscal 2013 first quarter (ended on Dec. 31) on Jan. 23, with analysts polled by Thomson Reuters expecting earnings to come in at $13.34 a share, declining from $13.87 a year earlier. Jim Cramer said that "with the stock going from $700 to $500, what you're hoping to hear is that they increased orders," and he agreed that the sources for the Wall Street Journal's story might be thin. However, Cramer also said that one of his children was complaining that the "new iTunes is horrible," that the premium prices for Apple's products may no longer be justified," and that "there may not be as much in the pipe," in the way of transformative new products.