BUZZ-European semis hit as China woes spread to smartphone sales
** Semiconductor stocks on the back foot again on Friday as the slowdown in smartphone sales in China hits the supply chain
** Weakness that began in Asia spreading across globe with US and European stocks threatening to catch up Chart: http://link.reuters.com/xyt45w
** China manufacturing activity for August at a 6.5 yr low while smartphone sales in China, the world's biggest market for the devices, fell in Q2 for the first time, Gartner (NYSE: IT - news) said on Thursday
** Dialog Semi and ARM both down 3.4 pct, among top faller on the index
** ARM TP cut at Liberum, with the broker citing Gartner report showing falling China smartphone sales as negative for the sector
** Aixtron off 5.2 pct with other peers weaker across the board
** In the U.S (Other OTC: UBGXF - news) ., Apple (NasdaqGS: AAPL - news) off as much as 2.4 pct overnight while Analog Devices (NasdaqGS: ADI - news) down 15 pct following results on Tuesday
** US and European semis still have a way to catch up to Asian peers: Thomson Reuters Asia Pacific Semiconductors index at 2 year lows (RM (LSE: RM.L - news) : alasdair.pal.thomsonreuters.com@reuters.net)