Apple’s $40 rise and fall: Was Goldman Sachs behind it?

“‘Goldman Sachs has engineered every major market manipulation since the Great Depression.’ So wrote Rolling Stone’s Matt Taibbi in his 2010 takedown of Goldman Sachs — the article that famously described the 143-year-old banking house as ‘a great vampire squid wrapped around the face of humanity, relentlessly jamming its blood funnel into anything that smells like money,'” Philip Elmer-DeWitt reports for Fortune.

“Without ever actually accusing Goldman Sachs of manipulating Apple shares, Paulo Santos, a independent analyst and trader from Portugal, makes a plausible case that the bizzarre action in Apple last week — rocketing to a record $526.29 on Wednesday morning only to plummet to as low $486.63 — can be traced to insider knowledge that Tim Cook was going to speak at a Goldman Sachs conference on Tuesday, which is when Wednesday’s run-up began,” P.E.D. reports.

Read more in the full article here.

[Thanks to MacDailyNews Reader “JES42” for the heads up.]

37 Comments

  1. I think the Apple mini flash crash had more to do with fridays options expiration than anything else.With the stock soaring the way it was whoever had sold the high strike calls was on the hook for a lot of money. They most likely put up a market order to sell a huge block of shares to stop the AAPL rally in it’s tracks. I wouldn’t be surprised if several large share holders collude to sell their shares at the same time. The stock dropped like someone flipped a switch.

  2. Hmm, let me see now! So who do we really think made the bucket load of money when those shares rocketed into the stratosphere? John Q. Public? … Yeah sure … Oh, There goes Santa Claus ….

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