Facebook's slide stalls Intel-led Wall Street advance

(Reuters) – Wall Street ended flat on Friday as gains by Intel, real estate companies and utilities offset a drop in Facebook after the social media network disclosed a security breach.

The S&P 500 lost 0.5 percent for the week, but for the third quarter it was up 7.2 percent, its best quarterly performance since the fourth quarter of 2013.

Facebook Inc (FB.O) slumped 2.59 percent for the session after it said it discovered a security issue affecting about 50 million accounts. Its loss weighed more than any other stock on the S&P 500.

Intel (INTC.O) jumped 3.08 percent and was the biggest boost on the three major indexes after the chipmaker said it was optimistic it would meet its full-year revenue target.

Smaller rival Advanced Micro Devices Inc (AMD.O) tumbled 5.22 percent. The Philadelphia SE Semiconductor index .SOX gained 0.65 percent, also boosted by Nvidia’s (NVDA.O) 5.09 percent jump on bullish comments from Evercore ISI. The S&P 500 technology index .SPLRCT rose 0.43 percent.

Italy’s new government proposed a 2019 budget with a deficit three times bigger than the previous administration’s target, sparking a sell-off in European stock markets and a drop in U.S. Treasury yields as some investors shifted their focus to the United States.

“Italy is weighing on people’s minds as to where they want to be,” said Thomas Martin, senior portfolio manager at Globalt Investments in Atlanta. “The U.S. is the place to be, and the rest of the world – not so much.”

Traders work on the floor of the New York Stock Exchange (NYSE) in New York, U.S., September 20, 2018. REUTERS/Brendan McDermid

The S&P 500 utilities and .SPLRCU and real estate .SPLRCR indexes, which typically benefit from lower interest rates because of the dividends their components pay, were the strongest performers among 11 indexes,

Read More Here...

Bookmark the permalink.