Stock manipulation

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Stock manipulation is a practice whereby owners of a company or others such as brokerage firms or investment companies take actions to increase or decrease the value of that stock, solely so they can buy or sell shares at a profit. It is typically illegal and widely considered to be unethical. For example, the CEO of a company may give a false, gloomy prediction of the company's future earnings in order to drive prices down so that he can purchase stock at a reduced price.

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[edit] See also

• Market manipulation