- Microsoft's Xbox Sees Big Green on Black Friday
- Predictions: 9 for '09 In Technology
- CES: A Smaller, Slimmer Expo Is Sign Of The Times
- Microsoft-Yahoo Deal Not Imminent: Sources
- Microsoft's Zune To Evolve Into New "Pink" Smart Phone?
- Sony Play's with Credit
- HP's Good News Actually 'Really' Good
- Palm Gets A Big Thumbs Down
- RIM's BlackBerry Storm Worth The Hype?
- Dell: Earnings Show Cost Cutting Measures Working
- Is "Dexter" Hero Of Our Times?
- Stock Picker: No Place Like Home (Builders)
- Sumner Redstone's Next Step Is Juggling Debt
- Najarian on Options: A Bullish Move on BP
- The Investor "Revolt" Over Modified Loans
- Bowyer: NBER: the Official Sponsor of the 2007 Recession
- BEHIND THE MONEY: Goldman Can't Let Go
- Another "Short" Story About Pfizer & Dendreon
- Stock Picker: Ride the Bat Out Of Hell
- Bailout Monitor Sees Lack of a Coherent Plan
- Pros: Searching the Gloom ... Bright Spot in Japan
- Putting a Value on a C.E.O.
- Where the Layoffs Are—Is Your Firm on the List?
- Treasurys Mostly Higher Despite Stock Gains
- BofA to Cut 10,000 Investment Banking Jobs
- GE to Maintain Dividend, Streamline Finance Arm
- Delta Air to Reduce Capacity By 6 to 8 Percent
- British Airways Discusses Merger with Qantas

![]() |
CNBC.com Apple Stocks Down |
Some idiot posts a statement on a CNN citizen journalism web site that Apple [AAPL
Loading...
()
]CEO Steve Jobs suffered a heart attack. And while this is America and we do enjoy the First Amendment right to free speech, this was the financial equivalent of "Fire" on a crowded trading floor.
I'm reluctant to even address any of this since it all hinges on a silly-- yet dangerous--rumor. But because the headline drove Apple to a new 52-week low, and because Apple took the right step in shooting the rumor down ("It's not true," a spokesman assures me), this needs to be talked about.
Apple is a target of manipulation precisely because it is a target of manipulation. What I mean is that like 5-year olds playing, when they tease each other, they do so because it evokes a reaction. The more the victim cries, the more teasing that will come his way. The trouble with Apple: the company's secretive nature, its carefully crafted image, Jobs' history of health issues and his intrinsic importance to the future success of the company all contribute to the effectiveness of these rumors in moving Apple shares. Good and bad, quite frankly.
Today's blog stupidity was only matched by the gullibility of traders who acted on the rumor. And with electronic trading and a few traders capable of wielding so much power, individual investors are essentially helpless.
It's not true. The rumor is not true. But the reaction to it just goes to show the enormous insecurity some traders suffer toward Apple and its shares. And how easy it is to manipulate this stock. That in itself is an unfortunate risk factor investors have to accept if they're going to put their hard-earned cash into this company.
How unfortunate. But such is the ridiculous climate on Wall Street right now. I hope they find this guy who wrote this post. But all the traders who dumped Apple shares based on that garbage have some searching of their own to do. Soul-searching. Selling first and asking questions later is the work of amateurs. It's not true. The rumor is not true.
Questions? Comments?



