SpaceX shares fell nearly six per cent on Tuesday — the company's first trading day as a member of the Nasdaq-100 index — despite an estimated four-point-three billion dollars in automatic purchases by funds that track the index.
The rocket company qualified for early inclusion under a new Nasdaq rule that took effect in May, requiring tracker funds to buy SpaceX shares to keep their portfolios aligned with the index.
Analysts warn of further volatility ahead, with SpaceX's first public earnings report and an insider lockup expiration both due in early August.
Kate Fisher reports from Washington.
IN: “This isn't actually...”
OUT: “...of order themselves.”
DUR: 37 seconds
http://www.fsnradionews.com/feeds/0707-1846fisher-spacexnasdaq1.mp3
(ALT)
Kate Fisher in Washington says the index inclusion means millions of retirement and pension savers now hold a stake in SpaceX — without having placed any order themselves.
IN: “If you own...”
OUT: “...of order themselves.”
DUR: 18 seconds
http://www.fsnradionews.com/feeds/0707-1846fisher-spacexnasdaq3.mp3