Stocks End Lower After CDC Confirms Second U.S. Case of Coronavirus; Boeing Ends Higher

Stocks finish down after the Centers for Disease Control confirms a second patient in the U.S. has been infected with the coronavirus.
Author:
Updated:
Original:
  1. Stocks finished lower Friday after the Centers for Disease Control confirmed a second patient in the U.S. has been infected with the coronavirus, while Boeing turns higher.
  2. The virus in China has killed 26 people and forced authorities to restrict travel for an estimated 40 million.
  3. Intel is Real Money's Stock of the Day. The chip giant posted fourth-quarter earnings above analysts' forecasts and said it anticipates robust 2020 sales.

Stocks ended lower Friday after the Centers for Disease Control confirmed a patient in Chicago has been infected with the coronavirus, the second patient to be infected in the United States.

The CDC told reporters that 63 patients in 22 states were under investigation for the coronavirus; 11 have tested negative, The New York Times reported.

Two cases of the deadly disease were confirmed in France, the Times said.

Concerns remained over the spread of the deadly coronavirus in China, which has killed 26 people and forced authorities to restrict travel for an estimated 40 million more heading into the start of the Lunar New Year celebrations.

The World Health Organization said the outbreak, which was first recorded in the central industrial city of Wuhan, has infected about 830 people but has not yet risen to the level of a global health emergency.

China locked down travel in two major cities and restricted movements from 10 more in an effort to contain the virus during the busy Lunar New Year holidays, which have closed markets in China on Friday and for the balance of next week.

Walt Disney (DIS) - Get Report, the world's biggest theme park operator, closed its Shanghai park in order to help prevent the spread of the virus, and McDonald's (MCD) - Get Report reportedly has halted operations in five cities in China due to the outbreak.

U.S. equities found support earlier in the session from stronger-than-expected earnings from chip giant Intel (INTC) - Get Report, which posted fourth-quarter earnings above analysts' forecasts and said it anticipates robust 2020 sales amid an emerging rebound in global chip markets.

The Dow Jones Industrial Average ended down 170 points, or 0.58%, to 28,990, and the S&P 500 declined 0.9%. It was the S&P's biggest percentage drop since a 1.56% decline on Oct. 7. The Nasdaq finished down 0.93% after earlier hitting an all-time intraday high.

Dow component Boeing (BA) - Get Report ended higher following a Reuters report that a Federal Aviation Administrator was calling senior  U.S. airline officials Friday to tell them that the agency could approve the grounded Boeing 737 MAX's return to service before mid-year.

Boeing had been falling earlier on a report that said the planemaker was considering another cut to 787 Dreamliner production because of sluggish demand.

American Express (AXP) - Get Report reported stronger-than-expected fourth-quarter earnings as international billings growth offset a slower increase in domestic spending.

The credit card company earned $2.03 a share in the period, 2 cents ahead of analysts' forecasts.

Broadcom (AVGO) - Get Report finished higher after saying revenue from multi-year supply agreements it has signed with Apple AAPL could reach $15 billion.

The company said it had entered two multi-year agreements to supply wireless components to Apple, the iPhone maker.

Apple is a holding in Jim Cramer's Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells AAPL? Learn more now.