Wall Street plummeted on Tuesday, erasing gains for the year, as the trade war with China ramps up and easy-money policies from the Federal Reserve are expected to deeply impact major tech companies.

The Dow Jones industrial average shed more than 500 points in early morning trading, to a low of 24,425.90, the second straight day of losses of around 2 percent.

Apple led the market lower, dropping more than 4 percent, to $177.62, on expectations that iPhone sales are slowing — sending ripples through the rest of the tech sector.

“The tech wreck is on,” Naeem Aslam, chief market analyst at Thinkmarkets, said in a Tuesday note. “The fact is that investors need to readjust their gauges and expect small profits.”

The sell-off comes amid broader economic tensions that have been swirling this year, but are only starting to impact investors: trade tensions with China, and rising interest rates.

“Concerns over iPhone demand and fears that chipmakers would be caught up in the US-China trade war weighed heavily on demand,” Jasper Lawler, head of research at London Capital Group, said in a note.

On Monday, Vice President Mike Pence signaled that the US could “double” the tariffs on China, which have already been levied on $250 billion worth of goods.

Market-watchers also expect the Fed to raise interest rates in December, the fourth time this year.

Another hike in rates, which would raise the cost of borrowing money, would impact consumers’ appetites for big-ticket items like new iPhones, as prices continues to rise but wage growth slows.

“We’ll be likely raising interest rates somewhat but it’s really in the context of a very strong economy,” John Williams, president of the Federal Reserve Bank of New York, said Monday.