Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Canadian miner Taseko Mines (NYSE: TGB) saw a wild intraday movement at about 2:30 p.m. ET, dropping more than 30% in about five minutes on heavy volume. Reminiscent of the recent "flash crash," it quickly recovered, but is still down 10% on the day.
So What: There's no news out there yet to explain the move. President and CEO Russell Hallbauer issued a statement saying that management "is unaware of any information that would cause the price of the Company's stock to change materially, as occurred on October 14, 2010."
The stock had been trading up as much as 11% before the drop, and had hit a 52-week high. The upward movement was largely because of an upgrade from Jennings Capital analyst Peter Campbell. According to The Globe and Mail, Jennings issued a research note that was bullish on copper prices and upped its price target on Taseko by 28% to $10.
Now What: Other miners, such as Freeport-McMoRan Copper & Gold (NYSE: FCX) and Southern Copper (Nasdaq: SCCO), did not experience similar movements. Our advice, of course, is not to make rash decisions when little information is available.
© 2010 UCLICK L.L.C.