Environment
What is insider trading?
Puzzled
Coincidentally, or not, in the days immediately following Gunns having been shown the assessment, up until the day this story appeared, the share price for Gunns jumped from 2.790 on 28/09/07 to 2.990 on 02/10/07. This jump, of around 8%, can be fully appreciated by viewing the ASX graph.
JUST what is insider trading?
The following appeared in the Sydney Morning Herald, Phillip Coorey – Chief Political Correspondent, Oct. 2, 2007.
“THE Tasmanian logging company Gunns had been shown the scientific assessment of its proposed pulp mill but the public would not see the report until a decision had been made, the Environment Minister, Malcolm Turnbull, said yesterday.
Mr Turnbull received the report from the chief scientist, Jim Peacock, eight days ago and said it would be released when he announced his decision on the controversial mill this week.”
Coincidentally, or not, in the days immediately following Gunns having been shown the assessment, up until the day this story appeared, the share price for Gunns jumped from 2.790 on 28/09/07 to 2.990 on 02/10/07. This jump, of around 8%, can be fully appreciated by viewing the ASX graph,
Why didn’t the ASX suspend trading at the time the company received information which would undoubtedly be seen as “market sensitive”? I find it interesting that the issue of insider trading is not being discussed at all. However, I am not an expert in this area, and am ready to be educated on the finer points. So, please, discuss …