European tech stocks fell sharply Monday as investors trimmed risk in the sector around the world following last week's pullback on Wall Street and the biggest single-day decline for Apple (APPL) in more than a year.
The Stoxx Europe 600 Technology index, the sector benchmark, was marked 2.5% lower in the opening hour of trading, its biggest single-day decline in more than eight months, as shares in SAP SE (SAP - Get Report) (-1.1%), Infineon Technologies AG (IFNNY) (-2.7%) and ASML NV (ASML - Get Report) , Europe's largest supplier to computer chip makers, (-3.25%) held down the sector.
Apple's European supply chain was also under pressure, with shares in Switzerland's AMS AG (AMSSY) , a maker of optical sensors for iPhones, slumping more than 6% the biggest fall since early April, to change hands at Sfr64.25 in Zurich.
Italy's STMicroelectronics NV (STM - Get Report) , which provides the phone's accelerometers, gyroscopes and motion sensors, fell more than 6.5% to change hands at €14.34 in Milan. Shares in Germany's Dialog Semiconductor, which provides power management systems for Apple, was down 4.06% to change hands at €41.65.
Imagination Technologies (IGNMF) , a British designer of graphical processing units used in smartphones, dropped 0.83% in the first hour of trading Monday. The stock has lost 54% over the past three months after Apple, its largest customer, said it would stop using its technology within 15 to 24 months.
Apple shares are expected to fall a further 1.6% at the opening bell on Wall Street Monday, according to pre-market trading, with a starting price of $146.58. Shares of the tech giant were downgraded on Sunday.
The slump for Apple would follow Friday's 3.88% decline, the biggest in 14 months, after a Goldman Sachs note said that low volatility in Facebook Inc. (FB - Get Report) , Amazon Inc. (AMZN - Get Report) , Microsoft (MSFT - Get Report) and Google parent Alphabet (GOOGL - Get Report) may be blinding investors to risks including regulation and cyclicality.
Facebook is expected to fall a further 1.02% after Friday's 3.3% slump, while Alphabet's shares are likely to open little-changed at $970 each.
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