Watch LIVE

Morning Market Roundup: Apple Kills With iPhone 5 Sales, China v. DC, Shell Abandons Alaska

News

Here’s what’s important in the business world this morning:

Apple: Apple says iPhone 5 preorders topped 2 million in 24 hours, more than double the amount of iPhone 4S preorders.

The company also says that while most preorders will be delivered on Friday, demand for the iPhone 5 exceeds the initial supply, so some of the devices are scheduled for delivery in October.

China’s Case Against Washington: China filed a World Trade Organization case Monday challenging U.S. anti-dumping measures on billions of dollars of kitchen appliances, paper and other goods, adding to worsening trade strains as global demand weakens.

Beijing's move came after American officials said the Obama administration plans to file its own WTO case this week accusing China of improperly subsidizing exports of automobiles and auto parts.

China and the U.S. have clashed over complaints about market barriers and subsidies for goods including autos, solar panels, tires, steel and chicken. Political pressures on both sides are worsening as demand for their goods cools, raising the threat of job losses in export industries

The Chinese Ministry of Commerce said its latest WTO complaint centers on the U.S. Congress's passage of a law this year that retroactively gave the Commerce Department power to impose anti-dumping duties on Chinese goods. That came after a U.S. court reversed earlier duties imposed under rules covering countries such as China and Vietnam that are deemed to be "non-market economies."

Shell Oil: Royal Dutch Shell PLC said Monday it will no longer seek oil off the coast of Alaska this year after suffering several setbacks.

The company, which has so far spent around $4.5 billion to obtain licenses and prepare for exploratory drilling in the Chukchi and Beaufort Seas, said it is scaling back ambitions until next summer after one of its containment systems failed during a test. Earlier, the company delayed drilling due to ice floe movements.

The company said that in the time remaining this season it plans to drill shallow "top holes" for wells that may be further pursued in coming years.

To obtain approval to drill, Shell fought a long struggle against environmental groups, who say seeking oil in the icy waters is too risky. In a statement Monday, Greenpeace claimed "vindication" and called Shell's program a "monumentally reckless gamble."

Shell said its decision is evidence of how carefully it is proceeding.

U.S. Futures: Stock futures followed global markets downward Monday, though trading is light with many investors awaiting housing and manufacturing data with the U.S. and China squaring off over trade practices.

Dow Jones industrial futures fell 20 points to 13,498. The broader S&P futures gave up 2.7 points to 1,456.30. Nasdaq futures slid 1.25 points to 2,849.

In European trading, Germany's DAX is down 0.3 percent to 7,389.36 while France's CAC 40 dropped 0.5 percent to 3,558.7.

The Associated Press contributed to this report.

Most recent
All Articles