July 12, 2009

Confused, much?

Ever wondered if the stock market is just a pile of hooey, the value of which is 90% irrational exuberance, 10% tangible value?

Yeah.

Much proof abounds, but none better than the little example of US General Motors shares that inexplicably and ludicrously increased in value by around $200M in a day (up in value by 37%), forcing GM to issue a statement telling investors not to buy the shares, which are destined to become worthless.

"Nearly 75 million shares traded hands until the securities industry’s self-regulator, Finra, halted trading at 2:09 p.m., citing “extraordinary events.”

Extraordinary exercise of stupidity, even on human scales.

As the old General Motors winds up its way to worthlessness, the new GM will be a privately held company.

Share trading is not for dummies. Truly folks, some of you really, really, really, shouldn't be trying this stuff at home.

A stock with bounce: Investors stick to G.M

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