Do stocks reflect their earning abilities? If lots of people shortsell IBM, will it drop to $10 a share? This is what happen to FUNTU, CCWW, USBR. ZONEQ, with business in children's recreation, faces a bankruptcy. FUNTU, in the same industry, under selling pressure. State Street Capital Corp, which took FUNTU to public and support its trading, could not support its price, FUNTU fell from $10 to $4 1/8. State street Capital step away from the stocks it supports. The shortselling move to other two stocks which State Street Capital supports. CCWW and USBR fell from $10 to 3 5/8 and $9 1/4 to 3 1/16, even the three companies are in good conditions. I don't understand why the three stocks, especially CCWW and USBR, which are in different industries, should suffer such a sharp drop? |