By James Langton

(December 6 – 09:00 ET) – Yesterday’s tech rally may prove short-lived after Apple Computer Inc. released an earnings warning after the bell last night.

Apple stock is down 18% and has tech shares falling in the pre-market trading.

On the economic front, third-quarter productivity slowed in the United States, although it is still running at a 3.3% annual rate. Slowing productivity is boosting labour costs and leading economists to fear inflation as a result.

In Canada, the dollar value of building permits issued declined in October to $3.1 billion, down 6.8% from September.

In Europe. stocks are mixed, with Apple weighing on tech shares. Although U.S. Federal Reserve Board Chairman Alan Greenspan’s comments yesterday have the trading euro higher. London’s FTSE is down two points to 6,297. In Paris, the CAC 40 is up 32 points to 6,027, while Germany’s DAX has gained 47 to 6,684.

In M&A news, France Telecom’s Internet division, Wanadoo SA, is acquiring Freeserve plc for US$2.4 billion in stock.

In world economic news it was announced that Turkey will receive US$7.5 billion in new loans from the International Monetary Fund to help prop up its economy and sustain economic reforms.

Overnight in Asia, stocks ignored the worm in Apple and bid up the techs aggressively. Japan’s Nikkei added 194 points to 14,889. In Hong Kong, the Hang Seng packed on 526 points to close at 15,099.

Celestica Inc. has announced a strategic alliance with Motorola Inc., including a supply agreement with a total estimated value of more than US$1 billion over a three-year period.

GSI Lumonics Inc. says it will cut 80 jobs at its facility in Rugby, U.K. The move reflects slower sales and revenues off by 5% in 2001, but the company says the job cuts will lead to a small profit improvement.