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Stocks - Facebook Still Tanking Midday; Amazon, Twitter, PayPal off Too

Published 07/26/2018, 11:40 AM
© Reuters.  Amazon followed Facebook lower ahead of its earnings.
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Investing.com - Technology stocks were the big drag on the market midday Thursday, which was certainly not a surprise given Facebook’s horrendous action.

Facebook (NASDAQ:FB) stock tanked more than 18% at 11:45 AM ET (15:45 GMT) following its quarterly revenue miss and warning on margins for years to come.

That hit the Nasdaq and the S&P Information Technology Sector index hard. In fact, tech was one of the few major sectors in the red in midday trading, with the index falling about 1.5%.

Facebook’s fellow FAANG stocks mostly held up well, with Google parent Alphabet (NASDAQ:GOOGL), Apple (NASDAQ:AAPL) and Netflix (NASDAQ:NFLX) little changed.

But Amazon (NASDAQ:AMZN) fell about 2% ahead of its earnings report after the bell. After a strong report from Google and big miss from Facebook, Amazon’s results will be even more closely watched.

Analysts expect profit to jump to $2.47 per share for the quarter on revenue of more than $53 billion.

Other technology stocks struggling include PayPal (NASDAQ:PYPL), off about 2.4%, on concerns about the outlook it issued after the bell Wednesday. And Twitter (NYSE:TWTR) fell about 3.5% ahead of its earnings Friday morning and in the wake of accusations from President Donald Trump of shadow banning Republicans. (Vice news reported that Twitter has now fixed the problem.)

One stock bucking the trend is Advanced Micro Devices (NASDAQ:AMD), which jumped about 13%. AMD reported its best quarterly earnings in seven years after the bell Wednesday.

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