{"id":803,"date":"2008-07-02T14:12:58","date_gmt":"2008-07-02T18:12:58","guid":{"rendered":"http:\/\/www.thedisciplinedinvestor.com\/blog\/?p=803"},"modified":"2008-07-02T14:12:58","modified_gmt":"2008-07-02T18:12:58","slug":"cnbc-caused-bear-stearns-collapse","status":"publish","type":"post","link":"https:\/\/thedisciplinedinvestor.com\/blog\/2008\/07\/02\/cnbc-caused-bear-stearns-collapse\/","title":{"rendered":"CNBC caused Bear Stearns Collapse???"},"content":{"rendered":"

Is CNBC responsible for downfall of Bear Sterns? In the upcoming issue of Vanity Fair, the collapse of Bear Stearns, that is the argument. On the morning of March 10th, CNBC began reporting a rumor that Bear Stearns was having liquidity problems. That sent shockwaves through the system and Vanity Fair’s author<\/strong><\/a> is proposing that CNBC was the root cause of the final collapse:<\/p>\n

…Yet CNBC\u2018s coverage remained anything but skeptical of the rumor. At two the network\u2018s new \u201cmoney honey,\u201d\u009d Erin Burnett, headlined the hour by announcing \u201ccredit issues at Bear,\u201d\u009d never mind that there was no such thing. She turned to correspondent David Faber, who observed, \u201cOf course, no firm\u2018s ever going to say that they are having trouble with liquidity, and, in fact, you\u2018ve either got liquidity or you don\u2018t. So if you don\u2018t have it, you\u2018re done. Those are the kinds of concerns in this market, concerns of confidence. You can have crises of confidence, causing meltdowns.\u201d\u009d<\/p><\/blockquote>\n

By the end of the weekend, Bear Stearns was done. You know the rest of the story.<\/p>\n

The destruction of a Wall Street giant all on an uncorroborated rumor fueled by CNBC correspondents that were more interested in topping each other than reporting the facts? Hard to believe, but who knows these days. Perhaps they took lessons from that NY Times writer from a few years ago…what was his name?<\/p>\n

So, is CNBC guilty of this or just the messenger?<\/p>\n","protected":false},"excerpt":{"rendered":"

Is CNBC responsible for downfall of Bear Sterns? In the upcoming issue of Vanity Fair, the collapse of Bear Stearns, that is the argument. On the morning of March 10th, CNBC began reporting a rumor that Bear Stearns was having liquidity problems. That sent shockwaves through the system and Vanity Fair’s author is proposing that […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[12],"tags":[45,483],"class_list":["post-803","post","type-post","status-publish","format-standard","hentry","category-markets","tag-cnbc","tag-markets","et-doesnt-have-format-content","et_post_format-et-post-format-standard"],"acf":[],"_links":{"self":[{"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/posts\/803","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/comments?post=803"}],"version-history":[{"count":0,"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/posts\/803\/revisions"}],"wp:attachment":[{"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/media?parent=803"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/categories?post=803"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thedisciplinedinvestor.com\/blog\/wp-json\/wp\/v2\/tags?post=803"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}