AdSense

Search This Blog

Labels

Wednesday, September 2, 2015

Yahoo share prices fall ! ~ the reason its CEO Marissa Mayer is ...

Can you imagine this reason for fall of value of shares in the market !!!!~specifically that of Yahoo !Yahoo ! [Yahoo Inc.] is an American multinational technology company headquartered in Sunnyvale, California. It is globally known for its Web portal, search engine Yahoo! Search, and related services.  It is one of the most popular sites in the United States.

Globally, another  round of weak Chinese economic data and fears of a US interest rate rise have combined to extend volatility on world stock markets.Stock averages across Europe were more than 2% lower on Tuesday, extending losses from the previous day, while the FTSE 100 began its trading week, after a Bank Holiday on Monday, by losing 3% by mid-afternoon.US stocks also suffered, with the Nasdaq Composite down 2.3% in early deals following Wall Street's worst month for values in three years during August.  There were several reasons for the latest slump in prices following the volatility of the previous week.Monday's nose-dive followed comments by a senior US central banker that were seen as a sign that borrowing costs may be raised from historic lows as early as this month despite the recent market turmoil over China.

Investors reacted on Tuesday to further evidence of the economic slowdown in China with figures suggesting manufacturing activity was at a three-year low.The slowdown in China has been a major factor behind the sharp falls in oil prices. China's main state broadcaster on Monday paraded a financial journalist "confessing" to causing the stock market "great losses" as authorities seek to rein in a rout on the exchanges.Wang Xiaolu, a journalist with the respected business magazine Caijing, was held after writing a story in July saying the securities regulator was studying plans for government funds to exit the market.Britain's Financial Times reported at the weekend that China had decided to stop buying shares in favour of intensifying a crackdown on those "destabilising" the market, although there was speculation as recently as last Thursday that government funds were acquiring stock.

There is panic and disorder among investors and concerns about the health of China's economy and its ability to manage its finances has infected world markets, sparking one of the worst global sell-offs since the financial crisis on August 24.Xinhua said Wang was held for fabricating and spreading fake information which had "caused panics and disorder at (the) stock market, seriously undermined the market confidence, and inflicted huge losses on the country and investors".In China high-profile criminal suspects are regularly paraded on television apparently confessing to their actions, in what rights lawyers say is a violation of criminal procedure.

There are views that "Suggesting that a business journalist was responsible for the spectacular fall in share prices is a denial of reality. Blaming the stock market crisis on a lone reporter is beyond absurd."  -  away from all the melee, can you imagine this reason for fall of value of shares in the market !!!!

Yahoo shares fall after CEO Marissa Mayer, 40, reveals she is pregnant with identical twins and that she will be back at work in just two weeks - despite giving staff 16 weeks maternity leave.  The $42million-a-year mother-of-one is due to give birth again in December

MailOnline reports that Yahoo's chief executive Marissa Mayer is planning to take only two-week's maternity leave, despite being due to give birth to twin girls in December. The  stock market reacted badly to the announcement with shares in the company falling by more than two percent.The 40-year-old mother-of-one was pregnant when she joined the company as CEO in July 2012 and gave birth the following September. Despite the arrival of a new baby boy, Mayer continued to work from home and was back in the office within a fortnight.

Now the CEO Marissa Mayer, has announced that she is pregnant with twin girls and is planning to take only two weeks away from the office after the babies arrive sometime in December.  Since joining Yahoo, Mayer has increased maternity leave to a 16 weeks and allowed new fathers eight weeks.  In a blog post announcing her latest pregnancy, Mayer said: 'Since this is a unique time in Yahoo's transformation, I plan to approach the pregnancy and delivery as I did with my son three years ago, taking limited time away and working throughout.' Before moving to Yahoo, Mayer was an executive with their rivals Google.

However, following the announcement, Yahoo shares fell by 1.99 percent to $31.60 in premarket trading. The shares slid further to $31.46 when the markets opened. Mic Mills, Head of Client Services at Capital Index said that today's announcement as well as the current situation in China were probably to blame for the fall in Yahoo's share price. 'Any news is seen as bad news for the markets. It is great news for Marissa and her family. She has indicated she will be back quickly after giving birth. 'This will probably increase confidence in the market.' Another Investment manager said - 'No correlation can be made to Marissa Mayer’s announcement that she is expecting twins in December.

Many of the internet company's Silicon Valley rivals have been improving the benefits on offer in a bid to retain and recruit highly experienced staff. According to Forbes, Mayer is worth about $380 million, with a pay package in 2014 of $42 million.At the time of the birth of her first child, Mayer was criticised for her rapid return to work. She was accused of undermining the role of other women in the workplace. Writing at the time on Sheryl Sandberg of Facebook's website, Mayer explained her decision to return to work so quickly. The comments on the 'Lean In: Women: Work and the Will to Lead' attracted heavy criticism.

Strange are the ways of people and market !

With regards – S. Sampathkumar

2nd Sept 2015.

No comments:

Post a Comment