8 ms·

Oh? Why should the SEC do anything? If it's wrong to talk about a company in hopes of affecting the stock price, shouldn't Elon Musk be doing hard time?

jdhn 5y ago
>shouldn't Elon Musk be doing hard time? He should be, but they basically gave him the same treatment they give a lot of people: a slap on the wrist.
- arcticbull 5y ago
  And forced him to step down as chair in 2018.
fnordfnordfnord 5y ago
1. Because that's market manipulation. 2. SEC did something to Musk, maybe you forgot, maybe you don't think it was enough, but they did something.
- speedybird 5y ago
  > "The US Securities Exchange Act defines market manipulation as "transactions which create an artificial price or maintain an artificial price for a tradable security"." They are 'manipulating the market' in an informal sense, but not in the sense that actually matters. There is nothing wrong with publicly stating that you think some stock is overvalued. Particularly not if you back up your claim with some evidence, which is what Hindenburg does.
  - angry_octet 5y ago
    Relatedly, how does a 17 day old account, with no submissions, attract 416 karma points? Not commenting on the quality of your writing, but it seems extraordinary. Unfortunately the market history on HN is private.
- wpietri 5y ago
  As speedybird points out, that's not market manipulation in the legal sense. And if it were, the Fortune 500 CEOs and CFOs should go to jail immediately, because they all have whole departments that release information to analysts and the public in ways intended to influence the stock price. If that's what you're arguing for, I might be able to get behind it. But I'm definitely opposed to "pumping the market is fine but countering hype should be illegal".
mitchdoogle 5y ago
Isn't that what everyone in CNBC is doing?
rchaud 5y ago
Hard time is for suckers that can't afford the $40m fine.

jdhn 5y ago

>shouldn't Elon Musk be doing hard time? He should be, but they basically gave him the same treatment they give a lot of people: a slap on the wrist.

arcticbull 5y ago
And forced him to step down as chair in 2018.

fnordfnordfnord 5y ago

1. Because that's market manipulation. 2. SEC did something to Musk, maybe you forgot, maybe you don't think it was enough, but they did something.

speedybird 5y ago
> "The US Securities Exchange Act defines market manipulation as "transactions which create an artificial price or maintain an artificial price for a tradable security"." They are 'manipulating the market' in an informal sense, but not in the sense that actually matters. There is nothing wrong with publicly stating that you think some stock is overvalued. Particularly not if you back up your claim with some evidence, which is what Hindenburg does.
- angry_octet 5y ago
  Relatedly, how does a 17 day old account, with no submissions, attract 416 karma points? Not commenting on the quality of your writing, but it seems extraordinary. Unfortunately the market history on HN is private.
wpietri 5y ago
As speedybird points out, that's not market manipulation in the legal sense. And if it were, the Fortune 500 CEOs and CFOs should go to jail immediately, because they all have whole departments that release information to analysts and the public in ways intended to influence the stock price. If that's what you're arguing for, I might be able to get behind it. But I'm definitely opposed to "pumping the market is fine but countering hype should be illegal".

mitchdoogle 5y ago

Isn't that what everyone in CNBC is doing?

rchaud 5y ago

Hard time is for suckers that can't afford the $40m fine.