If the stock market is so efficient, why do many large-turnover stocks fluctuate more than 1% intraday?
（Does the value of the company keep varying so quickly?）
Answer：
All but the most extreme Efficient Market theorists accept that the stock prices can be irrational in the short term.
Prices are efficient in the long term, not in the short term.
Posted: August 11th, 2010 under US Stock Market.
Tags: Stock market