SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Zeev's Turnips - No Politics -- Ignore unavailable to you. Want to Upgrade?


To: john722 who wrote (67365)5/15/2002 4:57:14 AM
From: Steve Lee  Read Replies (1) | Respond to of 99280
 
MSFT is 3.33% of the Dow and 10.94% of the Nasdaq 100. I believe (but am not sure) that it is a negligible percentage of the Nasdaq Composite.

So an isolated 20% drop in MSFT would lead to:

0.67% drop in the Dow
2.19% drop in the Nasdaq 100
negligible drop in Nasdaq Composite (and similar for S&P 500)

Note the word "isolated". Chances are that if MSFT drops 20% then other stocks will drop sharply too as part of a general market breakdown. It would take some severe MSFT specific news to drop 20% outside of a general market breakdown. Are you thinking of its current antitrust difficulties?