Stocks Mixed Amid Tech Slide on Big Options Day: Markets Wrap

(Bloomberg) -- Stocks were mixed as giant technology companies dropped amid Friday’s expiration of equity options. Earlier gains were driven by better-than estimated economic data. The dollar fell.

The S&P 500 closed little changed, while still notching its longest weekly advance since August, and the Nasdaq 100 dropped. Amazon.com Inc. sank as Citigroup Inc. said its statement on a recent sales event lacked the usual “biggest day ever” notation. The Dow Jones Industrial Average outperformed as Boeing Co. climbed after Europe’s regulator said the 737 Max plane may return to the region’s skies by year-end. Pfizer Inc. jumped after saying it could seek emergency-use authorization for its Covid-19 vaccine in the U.S. by late November if the shot is shown to be effective.

Earlier Friday, equities rallied as U.S. retail sales rose in September at the fastest pace in three months, while consumer sentiment ticked up in early October. Meanwhile, manufacturing production unexpectedly declined last month. The figures underscore the uneven pace of the economic rebound that’s being threatened by a new acceleration in coronavirus infections and Congress’s failure to agree on a fresh stimulus package.

“It’s encouraging we are seeing people willing to spend,” said Jeffrey Kleintop, chief global investment strategist for Charles Schwab, adding that the concern is “if we don’t get a stimulus deal, how much longer can that be sustained?”

House Speaker Nancy Pelosi told Democratic colleagues that a divide persists with the White House over a number of components of the fiscal stimulus she’s attempting to negotiate, even as an agreement nears on a coronavirus testing program. President Donald Trump’s economic adviser Larry Kudlow said in an interview with Fox Business Network it will be difficult for lawmakers to “execute” a relief package before the Nov. 3 election.

Investors also monitored negotiations between Britain and the European Union, which are set to continue next week even after Boris Johnson said he believes a trade deal is now unlikely.

These are some of the main moves in markets:

Stocks

• The S&P 500 was little changed as of 4 p.m. New York time.
• The Stoxx Europe 600 Index climbed 1.3%.
• The MSCI Asia Pacific Index decreased 0.2%.

Currencies

• The Bloomberg Dollar Spot Index declined 0.2%.
• The euro advanced 0.1% to $1.1716.
• The British pound increased 0.1% to $1.2923.
• The Japanese yen was little changed at 105.40 per dollar.

Bonds

• The yield on 10-year Treasuries advanced one basis point to 0.74%.
• Britain’s 10-year yield advanced less than one basis point to 0.182%.
• Germany’s 10-year yield dipped one basis point to -0.62%.

Commodities

• West Texas Intermediate crude decreased 0.5% to $40.74 a barrel.
• Gold lost 0.5% to $1,899.58 an ounce.

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