US STOCKS-China rout spooks Wall Street

lunes 4 de enero de 2016 10:50 GYT

* China factory activity shrank in December

* Apple down 2 pct; top drag on S&P, Nasdaq

* Netflix falls after rating downgrade

* Indexes down: Dow 2.01 pct, S&P 1.84 pct, Nasdaq 2.23 pct (Updates to open)

By Abhiram Nandakumar

Jan 4 (Reuters) - U.S. stock indexes tumbled about 2 percent on Monday - the first trading day of the year - after weak Chinese economic data reignited fears of a global slowdown.

Mainland Chinese shares fell 7 percent, triggering a new circuit breaker that prompted a trading halt, after surveys showed factory activity in the world's second-largest economy shrank sharply in December.

Adding to investors' worries, China's central bank fixed the yuan at a 4-1/2 year low, weakening it against the dollar.

"Those are violent New Year fireworks. That's quite a way to start the day off," said Andre Bakhos, managing director at Janlyn Capital LLC in Bernardsville, New Jersey.   Continuación...