A story that didn't get much attention yesterday, should have. It involved Apple. (Disclosure-I own Apple Stock)
Shares dropped $15 because of a RUMOR that Apple's COO Tim Cook was leaving the company. The story turned not NOT to be true. The stock rebounded and the sun rose this morning.
But a market that moves on rumor instead of fact is a dangerous one, especially for investors who live along Main Street USA. In the above-mentioned story, writer Vincent Fernando, CFA makes the point that should a powerful and major market presence like Apple take a hit based on rumor, it could drag the rest of the market down with it.
The issue isn't the strength of Apple, it's sitting on $50 Billion in cash and has a ton of great products in the pipeline (when doesn't it?) including a new generation iPad next spring. (It will have a camera and USB port-HOORAY!)
But to my original point, when Wall Street has a tizzy based on rumor, it's bad for us here on Main Street. That's wrong.
Is anyone in charge?
Brian Olson
Conversation Starters LLC
"We start the conversation about you"
No comments:
Post a Comment