Saving Coca Cola

This is just a small addition to the comments about the hedge funds and short selling.



There exists an incredible anti-capitalist financial terrorist and moron, a 44-year-old former Wall Street broker called Max Keiser who decided, together with Zac Goldsmith, a journalist from "The Ecologist" and a son of a more famous father, to destroy the Coca Cola corporation by short-selling its stocks.



http://karmabanque.com/

http://aljazeera.net/ ... (Arabs' description of the fellow terrorist)



He blames Coca Cola for containing sugar, for using its own logo, for violations of the human rights in Colombia, for poisoning land in India, for racism, and so forth. Keiser's brain simply seems a bit damaged, to say the least.



The Coca Cola company stocks are worth roughly 95 billion dollars. One stock is about 40 dollars these days. It used to be 40 dollars in the past, and it was about 50 dollars a year ago. It can return to 50 dollars again.



Keiser wants to short-sell a lot of their stocks - and bet that the stock will be something like 22 dollars in one year. This means that he will buy a negative amount of the stocks with a contract to return to zero in 12 months. In other words, he sells stocks that he does not own yet, and he actually buys them in 1 year, for a smaller price as he hopes. This "short-selling" is the main strategy used by the hedge funds - it is betting on the drop of their price.



He started with 100,000 dollars and it seems that he has already collected roughly 1 million dollars to invest and he expects to collect about 100 million dollars from the big investors. He claims that his profit will be distributed to the "victims of Coca Cola". Simultaneously, he collects names of the people who decided to boycott the company. Of course, this list is a big joke because most of the list is made of people who don't drink Coke anyway, and those who drink it will continue to do so.



He is a sufficiently big dope to have revealed his plans. Well, now everyone knows that once he starts - and he will probably announce exactly what he's doing - the price of the Coca Cola stock will be artificially undervalued by his short position that can be as large as hundreds of millions of dollars, i.e. fractions of a percent.



Of course, even though I like Coke, I have no idea where the stock is going. What he's doing is simply a lottery. But one attractive feature of this project is that one can actually help to destroy this gentleman and the other communist and eco-terrorist people who help him. In less than one year, it's enough to look at the price of the stock. If it's gonna be below 35 dollars, I would let him win. If it's gonna be above 35 dollars, the people on the stock market who don't like the anti-capitalist terrorists should buy some Coke stocks before he will have to cover his short positions - which will push the price up a little bit.



Actually I think that even the U.S. administration should help to punish this attempted attack on the economy. If disgusting terrorist projects like the project of Max Keiser were succeeding, many other radical people could start to follow his example - and Al Qaeda could become a small threat in comparison. It's in the very interest of freedom in this world to help to make his project unsuccessful.