In other news:
- Cynk sunk: regulators suspend trading in mystery company (Guardian, July 11, 2014):
Financial Industry Regulatory Authority halts trading in tech company with no assets, no revenue and just one employee
- Trading in CYNK Technology halted by SEC (CNBC, July 11, 2014):
Federal regulators on Friday halted trading in CYNK Technology, the mysterious over-the-counter stock that ran from a few cents to over $21 in a month.
- Pure Madness: Revenueless, Assetless CYNK Soars Over $5 BILLION; Bigger Than GameStop, Cablevision, Jabil Circuit
- Undisputable Bubble Insanity: No Revenue, No Assets Company Up Over $1 Billion (+110%) Today On 57K Shares Traded
- Market Top? Meet The $1 Billion Company With Zero Revenues
Shares in Cynk have skyrocketed since June, but the company has yet to make any profit – or even officially launch.
- How The Market Is Like CYNK (Which Was Just Halted) (ZeroHedge, July 11, 2014):
For all the drama and comedy surrounding the epic idiocy in which a bunch of “investors” took the price of non-existent company CYNK from essentially zero to a market cap of over $5 billion in under a week, most people missed the key message here: the stock is a harbinger of what is happening to the entire market. Because while those defending what is clear irrational exuberance, scratch that, irrational idiocy are quick to point out that CYNK’s epic surge took place on less than 0.1% of its outstanding shares, these are the same people to say precisely the opposite about the S&P 500. “Ignore the collapsing volumes sending the stock market to all time high – it’s perfectly normal” is an often repeated refrain by the permabullish crowd. Just not when it involves case studies in market insanity like CYNK apparently.
Perhaps ironically, it was the concurrent most recent crisis in Europe, that involving Portugal’s cryptic Espirito Santo group, whose top-most HoldCo is largely shrouded in secrecy yet which somehow is not a deterrent to the sellside community to issue one after another “all is clear; don’t pull your deposits please” note, that confirmed not only that nobody has any idea what the real situation of European banks is, but how the entire capital market has now become nothing more than one glorified CYNK penny-stock turning into a mid-cap.
Deutsche Bank’s Jim Reid explains: Continue reading »
Tags: Collapse, Economy, Global News, SEC, Stock Market, U.S.