A tweet sent Wall Street into meltdown and made one unnamed trader $2.4 million. A tweet.
He spent $110,530 on a call option to buy Altera stock and the Wall Street Journal reporter caused the stock to spike.
He bought 300,000 shares at $36 per share just one minute after reporter Dana Mattioli sent this tweet:
Shortly after, Nasdaq had suspended trading on Altera shares but trading resumed and shares closed on $44.39 per share.
The trader exercised his call option and made a $2.4 million profit. If you don’t know what a call option is this is it in a dumbed down way:
An option to buy assets at an agreed price on or before a particular date.
People seem to think the trader may have moved so swiftly due to eithe rinside knowledge or seeing the tweet at the right time.