Not sure where these guys are getting all these manipulation theories from. If u dump a pile of shares on the market a slight dip in the SP should not be unexpected. Equally the SP rising to almost 39 cannot be attributed to manipulation. The institution in question simply made the decision to sell at what it regarded as an optimum moment! Noting more!!!
The positive here is that the share overhang reduces with each sell down and there are buyers for the blocks on market terms. The negative is that the Irish Govt and Watsa still have to offload shares so more of this for the next year or two. (If anyone has influence writing a party political manifesto ... adopt a policy to keep the BKIR shares as part of the country's sovereign wealth fund). But don't look at this as manipulation. What Deutsche did is a placement by way of an accelerated book build. They go out to large asset managers and offer the block of shares. Standard market practice is to offer a discount, usually to the 30-day volume weighted average price to induce investors to buy. This will continue until the overhang (Noonan and Watsa) exit. It is most at risk of happening in the period post release of financials (annual and interims) as the selling shareholders can tell investors that, as far as they know, all material info on the bank is in the public domain.
Manipulation for sure. Both in the run up to .38, just before Prem sold (and just before Ross sold last year), and now in the aftermath. But stability will return, we may see a 1 for 3 consolidation and then Euro 1 a share before they deal with the prefs and then a small dividend. PatMc
Manipulation ...... definitely, but where money is concerned its not that surprising. for professionals and traders there is no money to be made if a share goes up in a straight line. constant " corrections" as they call it is THEIR friend. if they don't happen normally then they are well capable of manipulating one. In the long run it doesn't really matter to us because its the trend that's OUR friend.
SP has shot up in recent months! The small drop we saw yesterday is something we must accept on the path to stability. The will be more sudden corrections. Finding these corrections too stressful???? Go get a fixed rate savings account.
Datafeed and UK data supplied by NBTrader and Digital Look.
While London South East do their best to maintain the high quality of the information displayed on this site,
we cannot be held responsible for any loss due to incorrect information found here. All information is provided free of charge, 'as-is', and you use it at your own risk.
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.
London South East does not authorise or approve this content, and reserves the right to remove items at its discretion.