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I wonder when we will stop speaking in hyperbole about stock price changes. "In April of this year crackers got hold of the Associated Press Twitter account an
by unreal37 13y ago
I wonder when we will stop speaking in hyperbole about stock price changes.
"In April of this year crackers got hold of the Associated Press Twitter account and wiped an estimated $135Bn off the S&P 500 Index by tweeting that explosions at the White House had injured president Obama."
And the stock market rebounded and then some over the coming weeks, reaching new recent highs in May and June... So the effect lasted... a couple of hours?
When people talk about stock market value being "wiped out", they neglect to say that the market fully recovered later that afternoon, or that the market is higher today than it was back then. If you can't acknowledge that stock prices change every second, and that dips or rises are often temporary moments that affect very few shareholders of that company, then the phrase "billions of dollars was wiped out" is just meaningless hyperbole.
- nitid_name 13y agoIf you short the market during these dips, you can make the value that is "wiped out." What they are saying, in essence, is "this is how much money was on the table to be stolen because of that tweet."