Re:Ethiopian Airlines 737 MAX Investigation Preliminary Report
by ars on Thursday April 04, 2019 @08:05PM
(#19578375)
Because this report does not indicate a new problem, but rather the same one as before, which has already been accounted for in the stock price.
It's a truism of stocks that they move opposite of what you would expect when the final result comes in, and that's because they have already moved when news of whatever it is is released.
Eg: Company announces we will get 1 billion cash for free, stock goes up. when they actually get the cash, stock will go down.
Replace that scenario with whatever is making news about the company (mergers, new sales, personal changes, etc, etc).
It's a truism of stocks that they move opposite of what you would expect when the final result comes in, and that's because they have already moved when news of whatever it is is released.
Eg: Company announces we will get 1 billion cash for free, stock goes up. when they actually get the cash, stock will go down.
Replace that scenario with whatever is making news about the company (mergers, new sales, personal changes, etc, etc).