Replies to post #54138 on Biotech Values

[poorgradstudent]

>1) Why do large wall-street houses pay exhorbitant amounts of money to analysts so that they give their opinion for free to the public? Are they a charity or is it manipulation?<

This line of thinking depends on the premise that it is the capital of Joe Public that moves markets.

I think it is pretty clear that retail purchasing power is not what makes the market move on a daily basis. It is the institutions and hedge funds.

Therefore, either you believe that institutions and hedge funds put out reports to fool themselves, or your premise falls flat on its face.

>3) Why does the financial media (including CNBC, Forbes, Wall street joornal, reuters, and all the rest...) put such a concerted spin in reporting about stocks and companies, and why is the spin always identical for all the media? Is it to inform the public or is it because they get dictated to them by the crooked hedgies?<

See above.

>2) Why does wall-street allow shorting (legal or naked does not matter). Is it really for "liquidity and efficiency" or is it for manipulation?<

Given the finite dollar amount that stocks can fall, and given that the market is net long by a large margin, your constant worry about shorting being pure manipulation screams of inefficiency. If the market was going to manipulate, and use the public as lemmings in their plans, it would be in their best interest to increase prices. At least then they could amplify their manipulation with Joe Public's money. Most indications suggest that retail's mentality towards a fall in price is to fall in love with the stock, and clinch harder to their shares.

If you want to talk manipulation, let's talk about your never wavering 1000% annual profit.

I can't believe I replied to this. Again.

[medchal]

"1) Why do large wall-street houses pay exhorbitant amounts of money to analysts so that they give their opinion for free to the public? Are they a charity or is it manipulation?" Because they can't make money unless people are buying and/or selling, and their customers expect it. Call it manipulation if you like.

"2) Why does wall-street allow shorting (legal or naked does not matter). Is it really for 'liquidity and efficiency' or is it for manipulation?" It's for making money and because they've always done it that way. Why do they allow buying? Sometimes it does add liquidity and efficiency. See the following if you have the time:

http://www.scattered.com/hlightd.html

"3) Why does the financial media (including CNBC, Forbes, Wall street joornal, reuters, and all the rest...) put such a concerted spin in reporting about stocks and companies, and why is the spin always identical for all the media? Is it to inform the public or is it because they get dictated to them by the crooked hedgies?" They don't. That's just your spin on financial reporting. There are often wide divergences of opinion in the financial press. Hedge funds wouldn't go broke from time to time if the situation were as you paint it.

[oldberkeley]

You are absolutely correct and no one here should argue with you: you know what you know!

But be careful: the men in black helicopters (secret agents of the New World Order who are preparing to take control of our beloved Motherland for their own nefarious purposes)are probably monitoring your transmissions at this very moment.

It might be best for your own personal safety to lay low for awhile.

[microcapfun]

Manipulation ... O.K. I'll follow pgs and waste 2 minutes of my life.

>>1) Why do large wall-street houses pay exhorbitant amounts of money to analysts so that they give their opinion for free to the public? Are they a charity or is it manipulation?<<

Wall street houses pay exhorbitant amounts of money to analysts and fund managers in order to make money. Sure free analyst reports are sometimes made available and fund managers go on T.V. in part to support their positions. Is that any different than when some retail investor posts on a message board why he likes a stock he is holding?

It's called 'free speech'. Not manipulation.

>>2) Why does wall-street allow shorting (legal or naked does not matter). Is it really for "liquidity and efficiency" or is it for manipulation?<<

It is not Wall Street that allows shorting but the SEC. Though you may not like shorting, it is legal and part of the rules investors have always played by.

Not manipulation.

>>3) Why does the financial media (including CNBC, Forbes, Wall street joornal, reuters, and all the rest...) put such a concerted spin in reporting about stocks and companies, and why is the spin always identical for all the media? Is it to inform the public or is it because they get dictated to them by the crooked hedgies?<<

I don't know what spin you are talking about. You think hedge funds collectively control all the newspapers and all the financial news on T.V. and the web??? What happens when one hedge fund is long a stock and another is short? Do they flip a coin?

***

Of course whenever money is at stake there are some who will do whatever they can to make a buck, no matter if it is immoral and/or illegal. But 90% of stock movement is "manipulation"??? Again - only if you consider buying and selling to be manipulation.

micro

[exwannabe]

Hey Crou, I got 2 inutes also.

"1) Why do large wall-street houses pay exhorbitant amounts of money to analysts so that they give their opinion for free to the public? Are they a charity or is it manipulation?"

I agree with Crou here on this one somewhat, much "research" is published to push sales of whatever.

"2) Why does wall-street allow shorting (legal or naked does not matter). Is it really for "liquidity and efficiency" or is it for manipulation?"

Strongly dsagree. Shorting is also the most effective counter to long side manipulation and/or pumping. It's not really liquidity, but establishing more of a valid market (when things arn't being gimmie'd by funds shorting into pipes, etc.).

"3) Why does the financial media (including CNBC, Forbes, Wall street joornal, reuters, and all the rest...) put such a concerted spin in reporting about stocks and companies, and why is the spin always identical for all the media? Is it to inform the public or is it because they get dictated to them by the crooked hedgies?"

How about my assumption: the media just plain sucks?

[Biowatch]

In terms of all the manipulation being done on a daily basis JUST to get money from retail investors...

Many retail investors only interaction with the stock market is to have a small portion of their paycheck transferred to a mutual fund in their 401k plan on a weekly, monthly, or quarterly basis, where they can't trade it except on a monthly or quarterly basis.

It's hard to believe that the day-to-day or minute by minute manipulations of stocks by "hedgies" will affect them at all. (Unless they have their entire retirement fund wrapped up in stock from company they work for, and the company won't let them diversify when things are going south, e.g., Enron.)

Diversify, diversify, diversify!

Then again, if gambling is where you get your thrills, carry on.