Blog rumors: Now influencing market caps by $4B within 6 minutes
Today something amazing happened in the blogosphere. A rumor, started from a hoax email, drastically influenced the stock prices of one of the hottest performing stocks over the past few years AAPL. Apple’s stock dipped by 5% after Engadget reported that Apple’s hot new phone and their much anticipated new operating system would delayed significantly. The stock rebounded after the story was proven to be a hoax, but the activity during the dip was HUGE. I wonder who benefited from this activity, and I’m sure the SEC is wondering as well.
A few months ago the WSJ reported a story about Yahoo potentially losing a partnership deal with a cable provider. What happened? Their stock took a huge hit. I wasn’t surprised, this is the Wall Street Journal reporting the story, one of the most respected national newspapers with a heavy investor following.
Today though a blog that writes about gadgets proved it can now pull as much weight as the Wall Street Journal. Crazy.
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[...] is remeniscent of the time that engadget reported a rumor on Apple delaying the iPhone and their new OS when the stocks took a huge hit, but quickly [...]