delderfield21 Aug 2012 14:34
Because he has obviously lead them to believe that their will be a RI so one they have been shorting and two many will not have bought in yet thinking that they could well buy in lower .....a friend emailed me this morning and I hope he does not mind but I will post what he wrote as it can't be put any better..........
"having told all the instit's that they intend a RI and canvassed them on price levels ("among other things, investor feedback, market conditions," ) theyve now renieged-------------------that won't please the institutions, who were after all going to supply most of the RI money.--They will have taken appropriate stock positions and set aside all the ness. funds (all at the co's request ) only to be left high and dry---------Many will now lose money (by having the wrong short positions), and they will not forget this treachery.----You upset the Instit's at your peril, they have very long memories-----"