Altaba Inc. (formerly Yahoo) Message Board

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Technology Stocks : Altaba Inc. (formerly Yahoo)

AABA 19.63

0.0%

Nov 6 4:00 PM EST

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To: Pruguy who wrote (24577)	12/1/1999 11:05:00 PM
From: Director	Read Replies (4) of 27307

Am I the only one here with an I.Q. over 100? Just because the price opened higher than the previous day's price doesn't mean that the shares were being "bid-up". It's called "selling into the news". If you watched the trading today you would have noticed that YHOO opened at 232, reached a high of 234, and within minutes, sold-off to as low as 224 15/16, and finally settled at the 226-227 level, where it traded for most of the day. Because of the S&P news, arbitrageurs were trying to inflate the price, but because the demand was not there, they were incredibly unsuccessful. If all of the selling that occurred today were tried on a "normal" trading day (no news), then the price would have been driven substantially lower. In other words, it was obvious that many shares were sold at a higher price than could be had without the news... and more people took advantage of the selling than the arbitrageurs would have liked. They won't be holding the price higher for long however, because they would stand to lose too much if YHOO continues to correct.

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