Do fundamentals even matter for investors anymore?
Over the past week we have seen some of the most beat up companies pop by over 200 or 300 or 400% on the back of bad news. Stocks like JC Penny and Chesapeake Energy who are in bankruptcy proceedings have bounced strongly. JC Penny traded up by 55% on Friday and 96% yesterday, while Chesapeake closed last Thursday at $14.05, Friday at $24.80 and yesterday at $69.9.
Joel Elconin shares his thoughts on what is driving these rebounds and if he thinks they are sustainable. We also discuss the types of investors that are driving these stocks higher as well as any long term trends he sees as being more stable.
Click here to visit the Benzinga website and listen to the recording of Joel’s Pre-Market Prep Show.