How much of this "fake tweet causes a billion dollar drop in market cap" is coincidental? Everyone talks about it like the tweet CAUSED it, but did it really? Especially when the market is already so choppy?
- If you look at after hours trading, nothing really happened. In fact, the stock actually had a strong up bar for a little bit.
- Also, since Eli Lilly posted an official tweet stating the news was fake within 3 hours, again we should have seen something in after hours trading, but there is nothing there. This is a huge amount of lead time before market open of the next day.
- A bunch of other companies all crashed at market open at the same time as Eli Lilly. Maybe you could argue that Eli Lilly fake news crashed all the pharmaceutical stocks, but CVS and Cigna which are healthcare, not pharma also crashed. Cigna lost over 10% compared to Eli's 6%. It doesn't add up that fake news on pharma Eli would punish healthcare Cigna even more.
- If you look at after hours trading, nothing really happened. In fact, the stock actually had a strong up bar for a little bit.
- Also, since Eli Lilly posted an official tweet stating the news was fake within 3 hours, again we should have seen something in after hours trading, but there is nothing there. This is a huge amount of lead time before market open of the next day.
- A bunch of other companies all crashed at market open at the same time as Eli Lilly. Maybe you could argue that Eli Lilly fake news crashed all the pharmaceutical stocks, but CVS and Cigna which are healthcare, not pharma also crashed. Cigna lost over 10% compared to Eli's 6%. It doesn't add up that fake news on pharma Eli would punish healthcare Cigna even more.