Apple's (OTC:APPL) price cut on the iPhone means the phone is not selling the way they had hoped. I believe this can be attributed to slowing consumer discretionary spending, which will really hurt Apple.
The company does not usually cut prices this drastically - just look at its iPod line and you will see that not only were iPods hard to come by due to high demand when they first came out, but the prices were not lowered till at least a year after the release. This price cut on iPhone reiterates my concern about slowing consumer spending - either that or the phone sucks.
Bottom line - I recommend selling some AAPL if you have not done so already. I sold mine yesterday at the $145 level.
Full Disclosure: I do not own AAPL but my position change anytime without notice.