Facebook IPO: Hot Stock or Tech Flameout?
"Facebook likely is a potentially different circumstance because of the expected size of it," says Rick Bensignor, chief market strategist at Merlin Securities in New York. "I don't know if we can look at all the rules we looked at in the past — if this is just another IPO or if this is something different."
The best-case scenario for Facebook could be something different, and beyond.
The market badly needs a savior now as the European sovereign debt crisis has intensified, the employment recovery in the U.S. suddenly looks derailed, and stocks are in the second mini-correction of the spring.
"See what happens after the initial hype, also which way the market's going at the time, too," Bensignor advises. "If the market happens to be in the midst of a correction here, you may very well see the initial hoopla (over Facebook) push it lower."