Apple announced very strong earnings, beating Wall Street expectations in both revenue and profits, and missing slightly on iPhone sales volume.
After the announcement, investors got moody. Apple stock fell seven percent in after-hours trading July 21. Most speculate the mood swing was caused by concerns that Apple is relying too much on the iPhone for its fiscal health, and that the main growth market for the iPhone — China — may begin to slow down.
Making matters worse, a new research report from Canalys earlier this week said that the iPhone had indeed slipped into third place in the Chinese market, behind Huawei and market leader Xiaomi.