I think that's exactly why Facebook announced the Karma acquisition after markets closed Today. Since there won't be any underwriter protection to keep the price at above $38 on Monday, I believe Facebook timely released the acquisition news to open Monday in favorable terms.
Given the skepticism about the Instagram acquisition, the Karma acquisition could be interpreted either positively or negatively by different investors, couldn't it?
It's certainly possible; however, today's showing already has some media outlets discussing whether or not the IPO was horribly over-hyped.
When you consider that we still have the issues in Europe, growing losses at JP Morgan, and a weak economic recovery hanging over our heads, things don't look too promising for the market as a whole. I can see a high probability of Facebook moving with the rest of the market. That's not investment advice. It's just the way I see things.
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So does anyone think that on Monday if Nasdaq stays more stable, Facebook's stock will do better?
I think that's exactly why Facebook announced the Karma acquisition after markets closed Today. Since there won't be any underwriter protection to keep the price at above $38 on Monday, I believe Facebook timely released the acquisition news to open Monday in favorable terms.
Given the skepticism about the Instagram acquisition, the Karma acquisition could be interpreted either positively or negatively by different investors, couldn't it?
It's certainly possible; however, today's showing already has some media outlets discussing whether or not the IPO was horribly over-hyped.
When you consider that we still have the issues in Europe, growing losses at JP Morgan, and a weak economic recovery hanging over our heads, things don't look too promising for the market as a whole. I can see a high probability of Facebook moving with the rest of the market. That's not investment advice. It's just the way I see things.
It might be the other way around.
If Facebook does well, the market will recover. If Facebook has another highly visible stumble, it could trigger a broader sell-off.
I know better than to make blind predictions about market prices, but trouble with individual securities has been known to tank the entire market.
For example, see http://en.wikipedia.org/wiki/Friday_the_13th_mini-crash .