(CNBC) — U.S. stocks closed lower by about 1 percent on Tuesday after an unexpected move overnight by the People's Bank of China to depreciate the yuan by nearly 2 percent.
"The major concern is, the prospect of a China hard landing is more ominous as far as its impact on global growth," said Eric Wiegand, senior portfolio manager at U.S. Bank's Private Client Reserve.
The Dow Jones industrial average closed about 210 points lower, wiping out most of Monday's gains. Apple plunged more than 5 percent and Caterpillar fell more than 2.5 percent to lead declines. The index's 50-day moving average fell below its 200-day moving average, a bearish condition many analysts term a "death cross."
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