By: E&P Staff
Over at E&P’s business-oriented blog Fitz & Jen, Editor-at-Large Mark Fitzgerald looks at how newspapers fared on Wall Street Wednesday, and concludes it might not be just another brutal day of trading for the battered sector — but the moment when “capitulation” actually appeared.
That’s the bad news/good news moment in a bear market such as this when most investors simply give up on their stock portfolio and exit Wall Street — leaving it to those who begin the process of fueling a new run-up in prices.
One reason to believe capitulation has arrived at the newspaper sector was the disclosure that hedge fund and professional share activists Harbinger Capital Partners cut its stake in Tampa Tribune publisher Media General, and threw in the towel on some big-money bets it made that New York Times Co. stock would rise — instead of falling by more than 50%.
Check out the case for capitulation at Fitz & Jen blog