Why Is META Stock in the Spotlight Today?

  • Meta Platforms (META) has blocked thousands of accounts allegedly spreading misinformation/propaganda.
  • Reportedly, these accounts were based in Russia and China.
  • Possibly as a result of this development, META stock is trending and moving higher today.
META stock - Why Is META Stock in the Spotlight Today?

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Misinformation is a persistent problem on social media. In response to this, Meta Platforms (NASDAQ:META) is taking what appears to be prompt and decisive action. Reports of alleged propaganda campaigns from Russia and China have surfaced, and Meta Platform has responded by blocking thousands of accounts. Today, META stock traders are mulling this development and the shares are slightly higher as of this writing.

Do traders approve of what Meta is doing to combat misinformation? Truthfully, it’s hard to say. What we do know is that the platform is taking swift action. For one thing, Bloomberg reports that Meta blocked thousands of apparently “inauthentic” Russian accounts, pages, and groups from Facebook and Instagram.

Those accounts “criticized Ukraine and Ukrainian refugees,” Meta contends. They also allegedly “praised Russia and argued that Western sanctions on Russia would backfire.” Moreover, according to Meta, the group behind these Russian accounts created 60 websites “carefully impersonating legitimate news organizations in Europe.”

What’s Happening With META Stock?

META stock moved 1% to 2% higher early in today’s early trading session. Is this an expression of the investors’ approval of Meta Platform’s anti-misinformation efforts?

It’s hard to know for certain, as the broader stock market was higher. As they say, a rising tide lifts all boats.

Still, there’s no denying that Meta is cracking down on propaganda campaigns. After all, the company has taken down thousands of Russian accounts — but that’s not all. In addition, Meta reportedly removed an entire China-based propaganda operation.

This could be a historic moment, actually. A Reuters report states that Meta put an end to the “first known China-based influence operation focused on targeting users in the United States with political content ahead of the midterm elections in November.”

Meta Platforms global threat intelligence lead Ben Nimmo added more detail to this story. First, the Chinese propaganda operations were “primarily in South Asia, not to Americans about themselves.”

Also, the basic message of these operations was, “America bad, China good,” according to Nimmo. Today and in the coming days, it will be up to Wall Street’s participants to decide what the implications will be — and how all of this might affect META stock.

On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

David Moadel has provided compelling content – and crossed the occasional line – on behalf of Motley Fool, Crush the Street, Market Realist, TalkMarkets, TipRanks, Benzinga, and (of course) InvestorPlace.com. He also serves as the chief analyst and market researcher for Portfolio Wealth Global and hosts the popular financial YouTube channel Looking at the Markets.

Article printed from InvestorPlace Media, https://investorplace.com/2022/09/why-is-meta-stock-in-the-spotlight-today/.

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