Peacetrain
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Mon Dec-21-09 10:46 AM
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I am on sabbatical from DU for the holidays.. but I think I know why insurance companies stock rose |
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Edited on Mon Dec-21-09 10:48 AM by Peacetrain
ANNUITIES.. including wellpoint..
The retirement monies are coming back into the stock market.. BIG TIME.. they are what was sitting on the sidelines.
Annuities are insurance retirement products.. TIAA CREF is the teachers annuity. Wellpoint.. John Hancock on and on and on..
Gee this place is addictive.. I still had to check on it.. ROFL..
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Kurt_and_Hunter
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Mon Dec-21-09 10:49 AM
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1. Occam's razor has never been duller |
Peacetrain
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Mon Dec-21-09 10:54 AM
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3. Well if you subscribe to the theory..then I am correct..its the simplest explanation |
alcibiades_mystery
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Mon Dec-21-09 10:52 AM
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2. Insurance company stocks are up because the public option was going to kill the insurance industry |
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And now there will be no public option. It's not that complicated. People were holding back for a conclusion to reduce risk, and that conclusion has been reached.
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dave29
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Mon Dec-21-09 10:59 AM
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4. They are up for many reasons. Of course people will cherry pick the ones that suit them |
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Edited on Mon Dec-21-09 11:02 AM by dave29
1) The overall market is up 2) The PO is dead (at least for now), and that leads to the perception that the insurance companies "won" even though the truth is they are about to face much steeper regulation. They also won a delay in the 70 billion in taxes that are going to be levied moving forward. This has helped their rally. On balance, I am noticing also, executives selling on this uptick. 3) Annuities
People need to remember that the point of this regulation was never to "kill" the insurance companies -- not even with a PO. So waiting for the stocks to tank may be a fruitless endeavor. Not to mention there are probably millions upon millions of people who have stock in these companies that do not even realize it (mutual funds/401k plans) -- so "wishing" these stocks down is not really a positive, unless you are completely heartless.
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cherokeeprogressive
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Mon Dec-21-09 11:08 AM
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Sat Apr 27th 2024, 12:15 AM
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