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47 votes
Accepted

How does the WallStreetBets community benefit from buying poorly performing stocks?

The idea is that WSB members will buy up a bunch of the stock, which will raise the price of the stock. Short sellers will then buy up stock to cover their positions, and they'll have to buy those ...
Acccumulation's user avatar
44 votes
Accepted

Why is it reported as news that a company has "raised money"?

Companies raise money so they can spend it, by and large. So the first thing this tells you is that the company (upGrad in your example) will have some money to spend. It might be able to hire more ...
Kate Gregory's user avatar
38 votes
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Is 95% of what you read in the financial press “either wrong or irrelevant?”

If this is understood as "irrelevant to investment decisions", then it is plausible because publicly released news is immediately (in less than a second) incorporated into asset prices, according to ...
nanoman's user avatar
  • 29.5k
15 votes

How does the WallStreetBets community benefit from buying poorly performing stocks?

how does this benefit the members of the /r/wallstreetbets/ ? To simplify: Institutional investors short stock A Massive purchase from WSB of stock A WSB members (on average) profit during the ...
Franck Dernoncourt's user avatar
11 votes

Is 95% of what you read in the financial press “either wrong or irrelevant?”

While only the author of that statement can tell you exactly what was meant, I would relate it to a seemingly similar argument made by Nassim Nicholas Taleb in "Fooled by Randomness" that it's ...
JimmyJames's user avatar
  • 3,790
8 votes

How does the WallStreetBets community benefit from buying poorly performing stocks?

From what I understood about the news coverage regarding this, was that the WallstreetBet community was not only/primarily interested in gaining money from this scheme but also/rather inflicting loss ...
thieupepijn's user avatar
6 votes

How does the WallStreetBets community benefit from buying poorly performing stocks?

The biggest piece of information to understand is this: the number of shares short-sold actually exceeds the number of stocks in existence! Gamestop wasn't chosen at random by the WSB folks - it had ...
Kevin's user avatar
  • 2,630
6 votes
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Why didn't Blizzard's stock react to the bad HK press?

Was the whole debacle actually bad press from the view of an investor? It showed that Activision Blizzard is willing to take a PR hit among their customers in liberal countries in order to maintain ...
Philipp's user avatar
  • 23.9k
5 votes

Why didn't Blizzard's stock react to the bad HK press?

The real question is whether or not investors think that a specific kind of bad press will or will not cause a permanent reduction in sales. If investors think this is a tempest in a teapot, and that ...
RonJohn's user avatar
  • 50.7k
5 votes

How does the WallStreetBets community benefit from buying poorly performing stocks?

I find it hard to understand your question - it's rather disjointed, in particular it's not possible to run out of money as long as you don't put in new money. The folks on WSB bought the stock (or ...
Allure's user avatar
  • 2,662
5 votes
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Must all US public companies have an investor relations website?

Short answer: no. I am pretty darn sure that the only requirements to be a publicly traded company is that said company meets all the standards to be public traded and files the necessary forms ...
R. Hamilton's user avatar
  • 3,226
4 votes
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Is Nike paying income taxes as news media reports?

Income Tax Expense is not just Federal - it's any income tax, which for Nike includes State and Foreign taxes. If you look at Note 9 of the report you'll see a breakdown in which their federal income ...
D Stanley's user avatar
  • 133k
4 votes

What does it mean when I read in the news that interest rates were lowered or raised?

(US-centric answer, but should be fairly universal) When the news says that the government is raising interest rates, it means the Federal Funds Rate that the Treasury gives banks on their deposits. ...
D Stanley's user avatar
  • 133k
3 votes
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What are the risks of buying stocks featured in news articles?

Lets assume that the news articles are real news in real news sources, and the stocks are blue chip. The risk is that by the time you read the news item, millions of others have also read the news. ...
mhoran_psprep's user avatar
3 votes

Charting, or news to trade?

Investors and traders use a variety of ways to make their trading decisions: Fundamental analysis, technical analysis, news, newsletters, brokerage advice, whatever. Some even use astrology. ...
Bob Baerker's user avatar
  • 76.1k
3 votes
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Where are mergers and acquisitions announced?

When a company has corporate news, it makes a press release which is released electronically and sometimes physically. These are prepared ahead of time and the real time news organizations report it ...
Bob Baerker's user avatar
  • 76.1k
3 votes

How is "The People's Trust" not just another Investment Trust?

According to what little information is available currently, this fund is most akin to an actively managed exchange traded fund rather than an investment trust. An investment trust is an actively ...
not-nick's user avatar
  • 6,410
3 votes

Where do US public companies announce news?

Corporations provide press releases on their company websites and to the media (print, TV such as CNBC, electronic, web sites, etc.). Newswires distribute that info (Bloomberg, DJ News, etc.).
Bob Baerker's user avatar
  • 76.1k
3 votes
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Factors that control stocks prices

The answers would be:- Not reliably. Not reliably. If anyone knows the answer to that, then they aren't going to tell you. The raw news doesn't mean anything unless you really know the business of ...
Simon B's user avatar
  • 10.3k
2 votes
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Trading on forex news, Interactive Brokers / IDEALPRO, and slippage

In my experience thanks to algorithmic trading the variation of the spread and the range of trading straight after a major data release will be as random as possible, since we live in an age that if ...
Alan's user avatar
  • 183
2 votes
Accepted

How is "The People's Trust" not just another Investment Trust?

Well the People's Trust's IPO prospectus is now (2017-09-08) available for all to read (or there's a smaller "information leaflet"). (May need some disclaimers to be clicked to get access). Both ...
timday's user avatar
  • 3,937
2 votes

How Technical Analysts react to non-market hours effects

You can't. Even as a technical trader you should know what events are coming up and be prepared. You can't prepare for everything but you should know when the earnings dates are. You should also pay ...
kweinert's user avatar
  • 547
2 votes

How do reporters know what caused the market to move that day?

Reporters don't have to determine "what the market was thinking just a few hours earlier that day". The market tells you what it is thinking when the news is released. Good news triggers buy ...
Bob Baerker's user avatar
  • 76.1k
2 votes

Where do people get earnings information directly when it's released?

To get the news 'directly and immediately', you need real time streaming news. The premier service is an expensive Bloomberg terminal. Many years ago, I used to trade earnings announcements. I ...
Bob Baerker's user avatar
  • 76.1k
2 votes

Is 95% of what you read in the financial press “either wrong or irrelevant?”

My observations is that it's worse. My broker's computer feeds me news articles on financial markets, predictive indications in various industries, etc. They are 100% bad data for investment. This ...
Joshua's user avatar
  • 722
2 votes

What kind news or information would make the price of a stock go up?

There is a highly related question which is much easier to answer: what normally value-increasing news about a company would cause that company to fall in value in the public stock market? By ...
user's user avatar
  • 4,609
2 votes

Why do some investors pay for real-time newswires when the news is likely priced-in by the time it is read?

I don't think retail traders/investors are able to trade on news, because the news is probably priced-in by the time it is read by a human. Your assumption that it is all priced in is incorrect. Not ...
Bob Baerker's user avatar
  • 76.1k
2 votes

Factors that control stocks prices

Yes, the prices of stocks fluctuate because of changes in supply and demand. If there is high demand, share price rises. And conversely, excess selling volume drives prices lower. It really is that ...
Bob Baerker's user avatar
  • 76.1k

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