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by veyron 5312 days ago
The banks and large hedge funds manage so much money that their opinions and positions actually impact the market prices.

For example, akin to the "Colbert Bump", there is a "Buffett Bump" where position prices rise as Buffett releases his positions. Over the past few weeks a bunch of firms were required to disclose some positions as part of a 13F filing.

But it's not all puffery. Check out the story of David Einhorn and Green Mountain Coffee (GMCR).