Toxic Waste.
BMO looks like they might be cleaning out their Toxic Waste. When I bought them as my fourth Canadian Bank I knew that I didn’t like their smell. But Oh look there they go stinking. On average the Canadian banks are doing OK but I had higher hopes. They are long term so oh well. DHX is up a notch but to me that is random. VMW took a hit today but is still up.
But MSFT is my Toxic waste. I have heard some theories about the Yahoo takeover. One was that regardless of the outcome that MSFT would be able to poach some good employees from Yahoo. The other is that Yahoo is in the middle of a reorg and that the MSFT bid would stop that dead in its tracks while they deal with the takeover.
My conspiracy theory is that MSFT might be forcing everybody’s cards on the table. The Yahoo bid did bring MySpace out of a dark corner. Lastly Google might do a friendly takeover that also would tie up Google in knots as it digested Yahoo. Then MSFT backs away and recovers from the mess it made of my portfolio.
My super dark conspiracy MSFT theory is that key MSFT employees will be issued some options around right now and that they wanted the MSFT price down so that it will be up that much more when their options vests. The bidder always goes down and after the bid fails MSFT will have lost little so the price goes back up. Sounds daft. Well people walk into corner store waving guns for a $100 or so dollars. What would a narcissistic MBA do for a few million?