Microsoft Spikes After Feds End Breakup Threat

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Microsoft (MSFT) - Get Report spiked to $58.39 before retreating in heavy trading after the government said it would no longer attempt to break up the software giant. The stock was down 2.3% in midmorning, near the level where it traded before the announcement.

In a statement, the Justice Department said it told Microsoft it will not seek a break-up in proceedings before a U.S. District Court, and it also told the company it will not pursue unresolved issues surrounding Microsoft's bundling of its Internet browser with its Windows operating system.

"The Department is seeking to streamline the case with the goal of securing an effective remedy as quickly as possible," the statement said.