A rocky opening day for Facebook IPO trading

Facebook stocks are slowly steadying after a drastic influx.

WRITTEN BY: Jennifer Dimaano
Kowloonese
Image Source: wikimedia commons
Kowloonese

Facebook IPO stocks, trading under “FB”, are off to a rocky start. This morning Facebook opened at $38 per share. Stocks went up to rise as much as 13% to about $42 per share but around 12 p.m. (EST) before prices falling back to its initial opening price of $38.
It’s been a rough hour for Facebook, with shares falling but eventually recovering and moving up to a slow incline. As of the moment stocks are up about +3 points.
The online social networking site has one of the biggest IPO offerings in Wall Street history. Facebook raised as much as 18.4 billion today making it worth more than $100 billion, exceeding Google’s opening day value of $26.4 billion.
Earlier this morning CEO of Facebook, Mark Zuckerburg, happily rang the opening bell at 9:30 a.m. when markets open. Trading was expected to start at 11 a.m. but due to some “delays” trading was set back to 11:30.
Although, not everyone was able to join in on the trading, it was made apparent that those who have fast connections on Wall Street were able to claim their stake before many of Facebook’s loyal followers leaving them out in the dust. Reuters states it as “divided the haves from the have-nots.”
Publishing and marketing consultant, Fran Carpentier, best put it as, “not scoring an invitation to the best party in high school.” According to Reuters demand exceeds supply, in a rough ratio estimate of over 20 to 1.
Despite the turbulence in today’s market and today’s “low-yield” Facebook IPO stocks are expected to produce a higher output.

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