Tuesday, May 5, 2009

Massive volume of McClatchy stock trading today

Several million shares of McClatchy stock traded on Tuesday despite no company announcements or SEC filings. Very, very interesting.

UPDATE: Is Ariel Investments involved? Hmmm.

UPDATE #2: It's not Ariel Investments, because Ariel already unloaded its McClatchy stock.


Anonymous said...

Looks like Pruitt is cashing out....

Anonymous said...

looks like Pruitt is cashing out...

Anonymous said...

Isn't just MNI stock. Most of the paper stocks saw the same volume and relative increase.

Wrong time for shorts to cover I would think.

Maybe people think the worst is over and wanted to get in on the ground floor? I mean most of the trades were in the thousands of shares...not typically "day trader" stuff, more institutional.

Of course with the threat of Short Selling Bans by the SEC maybe everyone is getting out of the short game now while they can.

Anonymous said...

Let's all get in on the bottom floor, right before McClathchy stock fully collapses. Great call!

Anonymous said...

The RMS McClatchy has hit an iceberg. The lifeboats have been lowered. The pilot and execs get into the lifeboats, and the crew is left to sink or swim. The crew members are scrambling to stay afloat, but are tiring of treading water.

Finally word comes from headquarters,
Now Hear this, the RMS McClatchy has not run into an iceberg, it has bumped into a whale. The reports of damage have been greatly exaggerated. Crew members are to report to ship, and carry on with their duties, until such time it is determined if the whale has been injured.

Anonymous said...

Wouldn't it be sad for McClatchy to make it afterall?

Anonymous said...

Sounds like you righty's might be eating a little crow. Maybe that explains the vile that exudes from your pea brains. Too much crow.

Anonymous said...

What explains the diarrhea that spews from the Leftist, Marxist Moonbat Al-Queda lefties? Well, I guess ingesting excrement would explain that.

Anonymous said...

Obama cannot save newspapers. His radical greenies want them gone! That is the problem of having to payback extremists. The media was played like a fiddle helping to elect the Great Pretender, and now he has to let you go under to please other radical supporters. It must be a bitter pill to swallow, but take your medicine, and find other work. Print newspapers are on the way out, nothing will change that now. You wanted Change, and you got it, man you got it!

Anonymous said...

This has nothing to do with McClatchy doing well so you can pull your pants back up moonbat. (and wash your hands)

This is the deal. The SEC was given 5 proposals to consider and the one that is being supported by SEC staff was a modified uptick rule that will reduce liquidity on both the sell and buy side of stocks.

Institutional Short Sellers and large individual short seller use a long/short sell strategy. The anticipated proposal that Shapiro will accept destroys any ability to move in or out of a stock in short order. The ability enter a short position on a Monday and if necessary cover it by the end of the week will be gone.

On a stock like McClatchy's it will literally take weeks to be able to divest a large position.

The common sense reaction to the proposed rule change is now to divest from the stocks that they have been holding onto for long term as the upside is limited and the danger of being forced to hold the shares into bankruptcy is increased.

The result of this is, covering now before the rules change and take profits. Since covering is literally buying back of shares borrowed, the price is reflected upwards. This is not a net positive result as there is no floor level share holders to support the current price.

Anonymous said...

Anon 5:06 Thank you!

Anonymous said...

To Update: Ariel Funds had nothing to do with McClatchy's movement. They divested their interest in MNI last quarter..entirely.

John W Rodgers: (Chairman/CEO Ariel Funds)

"During the quarter, we did not purchase any new positions in Ariel Fund. However, we sold
Wilmington Trust Corporation (NYSE: WL) to pursue more compelling opportunities and we
exited our position in McClatchy Co. (NYSE: MNI) because its market capitalization fell below the
range we prefer for the fund."

Additional: March 31, 2009

"Fourth, we still have a
position in media—albeit much smaller and more diversified than before. Just because we made a
mistake with newspapers does not mean we cannot independently assess other high quality media

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