dkishore
05-08-2008, 09:22 AM
The saying that everything is fair in war and love, could be extended to stock markets as well. These are times when neither fundamentals nor technicals appear to be working. In such a situation, a bit of inside information seems to be the only foolproof method to beat the street.
And having run out of all other options, some officials are learnt to be resorting to this age-old technique. A senior group official of a high profile company that announced its quarterly numbers last week, is learnt to have dumped shares of that firm a day before the numbers were declared.
The sales were not significant enough to impact the stock price on that day. But the following day, the price collapsed after the quarterly earnings turned out to be way below market expectations.
And having run out of all other options, some officials are learnt to be resorting to this age-old technique. A senior group official of a high profile company that announced its quarterly numbers last week, is learnt to have dumped shares of that firm a day before the numbers were declared.
The sales were not significant enough to impact the stock price on that day. But the following day, the price collapsed after the quarterly earnings turned out to be way below market expectations.