Every so often, rumors pop up that Mexican billionaire Carlos Slim is going to buy The New York Times Co., in which he already owns nearly a 7% stake. And then those rumors quickly get stamped down by Slim, but not before making some waves in the stock market.
It just happened again today, and Times Co. shares rose as much as 8% as a result, according to Bloomberg:
Almost 6,400 calls to buy the stock changed hands, 35 times the four-week average and five times the number of puts to sell...
...The publisher’s stock rose 26 cents, or 3.4 percent, to $8.02 at 12:54 p.m. in New York Stock Exchange composite trading after hitting $8.38 for the biggest intraday gain since June 10.
But traders shouldn't get too excited. As Bloomberg points out, a Times Co. takeover wouldn't be easy. And Slim's rep told Bloomberg: “We know nothing about this.” The Times, meanwhile, declined to comment for the piece.
Read more: http://www.businessinsider.com/new-carlos-slim-rumors-make-new-york-times-stock-soar-2010-9#ixzz0yzeuz0Ev
