Yet another reason why this is not a market for investors, but speculators......
With no significant news to speak of, AIG stock soared more than 29% to $48.89 midday Thursday in a move that appeared to be motivated by a wash of speculative trading and a possible short squeeze. Volume reached 73 million shares; daily average turnover is about 103 million.
The firm's stock price has exploded by more 250% since Aug. 4, a surge that has largely mystified market observers.
So AIG has a low of 6.60 mid July and today cross 50. So in 6 weeks with perfect timing you could have made 667% on AIG. AIG people not some random high beta internet stock. And people call this the end of the recession. Speculation like this is not the fuel for a market bottom or a new bull market, but a bear market rally. consider yourself warned.
No comments:
Post a Comment