Well, if I wanted to figure out a way for the last 2 days to be "planned", let's look at what happened.
On the "dividend pay date" the price went down as we know. Some got their DRIP shares assigned/posted on Thursday. Others like me got them posted on Friday. I don't like the way Ameritrade does this but they gave me my reinvested price of 2.21 (and the corresponding amount of shares) later in the afternoon when CIM had recovered quite well. Due to the late day surge I still got some profit running on those but I was wondering if others care to share their experience. I am pretty sure there is a diverse range out there.
Anyway, regardless of price, my conspiracy theory is that the whackers ran it down Thursday to get many in on the lower reinvested price, and then ran it back up Friday so most (holders) would have a profit.
If there is a game some one will be able to figure out how to play it.
But other less maniputlative things could be in the works 1) merrils is re evaluating the stock-as it already rates it crap c-3-8. The only thing i can think is they may be choosing not to cover it any longer.
2Hatteras-- a similar sort of reit posted dissapointing numbers on the 25th. People may be thinking that if hatteras aint doing well then cim is going to struggle
Finally an fairly influential investment house hedge fund came out with a quarterly report arguing that high national debt is destructive to growth and ultimately historically tends to keep long rates low. This would mean that cim's dividend will continue to be cut, its and its crap loans will continue to struggle as there is no growth or inflation to raise the value of the underlying asset so bv will continue to be depressed and orrigination is hamstrung. The only plus point to this is that low rates to some extent underpin the value as a junk loan that is paying a portion of its payment may look relatively okay to a solid loan at 3%. I definitely think it is going to get worse before it gets better. I'm still holding though- but if merril stops coverage and i'm betting it will i will probably leave