CNBC's $190 Billion Reporters

A few hours ago (at around 11:30 A.M. ET), CNBC's Charlie Gasparino reported that in discussions at the NY Fed regarding the fate of AIG (AIG), the prospect of the government providing some sort of assistance was on the table.  On that news, the S&P 500 staged a 1.8% rally in a matter of minutes.  In terms of market cap, the S&P 500 added $192 billion. 

Minutes later, that $192 billion evaporated when another CNBC reporter said that the government's previously stated position regarding AIG (of providing no assistance) had not changed.  When hundreds of billions of dollars are created and erased in a matter of minutes like this, saying that the market is in a state of anxiety is quite an understatement.

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Comments

[texasgolfer:]

I was always told that if the "media" reports it, then it is priced into the market since media gets news later than the market. I certainly don't run and buy because CNBC has a story.

2008 Sep 16 03:00 PM

[TinyMIghty:]

CNBC brings out more drama like "Desperate House Wives" to the market than news.

2008 Sep 16 08:49 PM

[andyn:]

"Traders who live by the sword deserve to die by the sword."
Enough said.

2008 Sep 17 09:29 AM

[morph366:]

Easy to belittle the importance of CNBC and other financial media but the PlayStation/Xbox inspired trading desks can make and lose a lot of money fast on such rumous which was the point that the originators of the story are making

2008 Sep 17 09:59 AM

[notsosmart:]

isnt investing for your future great?

2008 Sep 17 10:10 AM

[bbowen7:]

A good time for traders. A terrible time for investors.

2008 Sep 17 12:22 PM

[Billy Staples:]

Gasparino needs to have a fact checker and a muzzle sometimes. He turns his face out of his little Brady Bunch box to laugh at other speakers. how did he get a job as an expert. 'onair editor. he's hardly on the air. someday CNBC will get sued for his comments or 'facts' andno on air editor. Besides, how is his book doing...any false statements in there, like how its selling?

I don't like pit bulls in news who jump on everyones words and are always right, and never wrong. He was even chastised on the air recently by Bill O'neil or Steve Lesman (forgive sp!) to be careful what you say as it affects the price. I'm only 8 years from my masters and I knew that



Billy
Staples

thedarksize.com need a stocks laugh thestockjokesreport.co...

2008 Sep 18 02:09 AM