Yum Brands (YUM) is down 6.2% this morning. The stock appears to be responding to an earnings warning that came out this morning from McDonald’s (MCD), which is seeing declining sales in Asia. Yum Brands, owner of the KFC and Taco Bell chains, relies heavily on Asian sales, particularly in China, and any slowdown could have a big effect on the company.
China’s government is also clearly concerned that the economy is decelerating, prompting it to cut interest rates for the first time since 2008.
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