* U.S. Oct consumer spending drops as income growth stalls
* Obama to promote tax agenda in Pennsylvania
* Zynga shares plunge after revising deal with Facebook
* Indexes: Dow up 0.1 pct, S&P flat, Nasdaq off 0.1 pct
By Angela Moon
NEW YORK, Nov 30 U.S. stocks were little
changed on Friday as investors were hesitant to make big trading
bets ahead of a statement by President Obama on the progress of
Trading has been choppy lately, as investors buy on sporadic
dips in the market and react to mixed headlines out of
Washington regarding discussions on averting the "fiscal cliff,"
spending cuts and tax hikes that will come into effect in the
U.S. President Barack Obama plans to travel to a factory in
Pennsylvania to press his case on raising taxes on the wealthy
to narrow the deficit.
The S&P 500 was on track to end the month 0.3 percent
higher, after declining nearly 2 percent in October.
"The correction from the S&P 500's September peak has
allowed overbought momentum and optimistic sentiment conditions
to recede, and we believe the index is closer to an
intermediate-term buy signal than a sell signal," said Ari Wald,
analyst at PrinceRidge Group.
After a close relationship for several years, Facebook Inc
and Zynga Inc revised terms of a partnership
agreement between the companies; under the new pact, Zynga will
have limited ability to promote its site on Facebook.
Zynga shares were down 6.5 percent at $2.45. Facebook shares
were down 0.6 percent at $27.15.
The Dow Jones industrial average was up 13.89 points,
or 0.11 percent, at 13,035.71. The Standard & Poor's 500 Index
was down 0.35 points, or 0.02 percent, at 1,415.60. The
Nasdaq Composite Index was down 3.20 points, or 0.11
percent, at 3,008.83.
Whole Foods Market Inc announced a special cash
dividend of $2.00 per share. In expectation of higher dividend
tax rates in 2013, companies have been shifting dividends or
announcing special payouts to shareholders. The stock was up 1.1
percent at $94.07.
Data showed business activity in the U.S. Midwest expanded
for the first time since August, a report showed on Friday,
buoyed by an improvement in the labor market.
U.S. consumer spending fell in October for the first time in
five months as income growth stalled, suggesting slower economic
growth in the fourth quarter.
The equity market's reaction was muted to both data.
Apple Inc's latest iPhone has received final
clearance from Chinese regulators, paving the way for a December
debut in a highly competitive market where the lack of a new
model had severely eroded its share of product sales. Shares of
Apple were down 0.3 percent at $587.55.