2 ms·
The big pop and big drop around the S&P 500 decision is not just TSLA craziness. It's also S&P 500 craziness - people were, I'm guessing, speculating on the exp
by mumblemumble 6y ago
The big pop and big drop around the S&P 500 decision is not just TSLA craziness. It's also S&P 500 craziness - people were, I'm guessing, speculating on the expected effect that an S&P 500 listing would have on demand for TSLA shares.
Or, to put it another way, I think we just saw another indication that the S&P 500 index is not immune to Goodhart's Law.
- robjan 6y agoThink it's more that there are lots of less sophisticated investors in on TSLA. Inclusion in the SP500 does not usually send a stock to the moon because it's already priced in.