Phony orders the cause
Last modified on Wednesday, 01 October 2008 08:29
On the day of Wall Street’s biggest loss, Google’s stock lost more than 200 points and dropped to $249 per share, due to what Nasdaq is now terming "erroneous orders." Since then, the share price rebounded to $415 in after-hours trading.
According to a comment from the Nasdaq, "Transactions at or above $425.29 and at or below $400.52, that were executed between 3:57 p.m. and 4:02 p.m. EST, would be wiped out." Thus, those who may have cashed in on this error are not going to be able to profit from it.
Even though the mistake is being fixed, this incident has caused even more uneasiness and distrust among already shaken investors.