Stocks close on a low to end the week
U.S. stocks slumped in the final minutes of trading Friday and ended a rough week with more losses.
The day before, stocks had taken their biggest loss in three months. They opened lower Friday after retailers Foot Locker and Hibbett Sports gave dour quarterly reports. Stocks briefly turned higher following reports that President Trump’s chief strategist, Stephen K. Bannon, left his White House post.
The Standard & Poor’s 500-stock index lost 4.46 points, or 0.2 percent, to 2425.55. The Dow Jones industrial average fell 76.22 points, or 0.3 percent, to 21,674.55. The Nasdaq composite index shed 5.39 points, or 0.1 percent, to 6216.53.
Athletic gear retailer Foot Locker plunged to its biggest loss in almost nine years. Shares fell 27.9 percent to $34.38. Hibbett Sports cut its annual forecasts, and its stock fell 5.2 percent to $10.90.
— Associated Press
Icahn quits role as Trump adviser
Billionaire investor Carl Icahn has ended his role as a special regulatory adviser to President Trump after questions were raised about potential conflicts of interest with his business dealings.
In a letter to Trump posted Friday on Icahn’s website, the activist investor denied profiting from his advice-giving role — a possibility raised by Democratic critics who have asked officials to investigate Icahn’s advisory position.
“Contrary to the insinuations of a handful of your Democratic critics, I never had access to nonpublic information or profited from my position, nor do I believe that my role presented conflicts of interest,” Icahn wrote in the letter to Trump.
“Indeed, out of an abundance of caution, the only issues I ever discussed with you were broad matters of policy affecting the refining industry.”
— Bloomberg News
Ex-Uber CEO blasts investor lawsuit
Former Uber chief executive Travis Kalanick says a lawsuit filed by a former ally is a malicious attempt to sever his remaining ties to the ride-hailing service that he co-founded.
Kalanick lashed out in legal documents filed late Thursday in response to a Delaware Court of Chancery lawsuit filed against Uber last week by one of its major investors and a former Kalanick supporter, Benchmark Capital.
Benchmark alleges that Kalanick has been interfering in Uber’s search for a new chief executive and manipulating the board in a scheme to bring him back as the company’s leader.
After resigning as CEO, Kalanick reappointed himself to Uber’s board under special powers that give him control of three board seats. Benchmark wants those powers taken away, arguing they were given to Kalanick under false pretenses.
Kalanick said Benchmark had secretly plotted against him and launched its plan to oust him from Uber “at the most shameful of times,” shortly after his mother was killed and his father was critically injured in a boating accident in May.
— Associated Press
Also in Business
U.S. consumer sentiment rebounded in early August from an eight-month low in July, reflecting confidence in the outlook for the economy and in personal finances as the stock market holds near record highs, a key survey showed on Friday. The University of Michigan’s consumer sentiment index rose to 97.6 in the first half of August from a final reading of 93.4 the month before.
The SEC on Friday dropped its lawsuit accusing two former JPMorgan Chase traders of trying to hide some of the bank’s $6.2 billion of losses tied to the 2012 “London Whale” scandal. The decision by the Securities and Exchange Commission to dismiss charges against Javier Martin-Artajo and Julien Grout came four weeks after the Justice Department abandoned its criminal case against both men, who have denied wrongdoing.
Target says it will no longer sell products made by food start-up Hampton Creek after an internal review. The retail giant decided to end the relationship about two months after receiving what it described as “specific and serious food safety allegations about Hampton Creek products.” Target pulled the San Francisco company’s products from shelves in June while it looked into the matter and shared the claims with the U.S. Food and Drug Administration. Hampton Creek has said its products are safe. The FDA has said it has “no safety concerns with Hampton Creek at this time.”
— From news reports