Friday, December 15, 2006
Bema gold
Gold is supposed to be going down because demand is down. From what I have been reading from some companies supply may be up also. Bema though is being bought for .441 shares of another comany. That comes out to 5.21 but the company went down to $5 and then to $4.98 I didn't realise what was going on I had a split for 2 cents a share sorta. $5 and then $3 over $5 for the short and an extra option $5. I supose that comes out to 4 cents a share for a butterfly. Didn't make much sence though. Short the buyer and buy the company being bought makes more sence and I noticed over 1000 options changed hands in the last two hours of trading. Most of the calls that were open were bought today. I haven't reaserched supply to much to get a feel for what is coming to market or leaving the market.
