Quote:
Originally Posted by The_Blur
When the company goes public again, the government will start selling stock. In order to avoid a substantial price drop, the likely decision will be to sell GM stock over a period of time. This way, the government will get its money back.
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I concur. My personal opinion is that Obama et al will push to lower the American federal government's ownership of GM America to < 50% from it's current 60% holding. GM will go public again, and investors will rush to purchase the small amount of stock the government is shedding, driving the price up. Supply & demand will snap back and forth over a morning... with saturation hitting by mid-afternoon with the stock still selling above IPO, barely, by closing. A quick, one-day "gold rush" with marginal gains over the first week.
Should definitely be interesting. If I'm right
, you'll see several "leaks" from the Obama Administration within a week of GM's new IPO, concentrating 48 hours before "go" time.
Nothing's a guarantee, of course, but I paid for most of my 2010 Camaro from American stock gains and dividends this past year.
