Hillary Clinton Rattles Prison Stocks With a Single Tweet

[Historic NY]

Hillary Clinton may not be president, but she's moving the markets like she is one. For the second time in three weeks, the front-runner for the Democratic nomination wiped millions of dollars off the value of an industry with a single tweet.

On Friday, private prison stocks dropped sharply after Clinton's expression Friday of her opposition to the industry.

"We need to end private prisons. Protecting public safety...should never be outsourced or left to unaccountable corporations," she said in a tweet drawn from comments she made during a speech on the criminal justice system in Atlanta.

Corrections Corp. of America fell more than 6 percent, lopping off approximately $200 million in value, while GEO Group Inc. dropped 4.2%, losing about $100 million.

http://www.bloomberg.com/politics/articles/2015-10-30/hillary-clinton-rattles-prison-stocks-with-a-single-tweet

[bkkyosemite]

1. God this drives me nuts. She is a copycat.

Takes from Bernie and runs with it.

[riversedge]

2. question-did the stocks fall when she took it from Bernie?

[kenfrequed]

9. This isn't about either Clinton or Bernie

The FCC put a cap on prison charges on phone calls. Private prisons were charging as much as 14 or 17 dollars per minute. The FCC is capping it at about $0.21. That is a massive lost of revenue and is probably the real reason for the drop in the market.

[riversedge]

10. oh, but that happened yesterday? or was it the day before?

But I am glad for the cap.

[kenfrequed]

12. It was a terrible mechanism

Private prisons were using it to soak a lot of poor people for a lot of money. I think it was announced earlier this week or late last week but the prison lobby and their cronies were hoping they could kill this action being taken somehow. I get the feeling that they found out that they weren't going to be able to stop it.

[artislife]

43. Wow. nt

[Fred Sanders]

13. The "too little, too late" or "Bernie said it first" crowd are not serious people.

[frylock]

18. We all know who The Very Serious People are.

[artislife]

44. I giggled at that! nt

[freedom fighter jh]

60. And it follows that anything said by a member of the "Bernie said it first" crowd

is not serious enough to consider.

Quick, easy, and invalid ad hominem argument to take down a whole lot of stuff said in support of Bernie.

[Fred Sanders]

61. If Bernie fans did not have strawmen to get outraged over and tear down what would they have?

[freedom fighter jh]

63. We would have a candidate who is free to take positions that serve the people

because he is not indebted to corporate funders.

Bernie's positions serve the people.

So do some of Hillary's, of late. I don't fault her for coming around.

[Blue State Bandit]

33. Bernie wasn't in their pockets when he made his declaration.

That giant sucking sound is the protection she supplied being exposed by Bernie, and forcing her hand on the issue. That caused the market to drop.

That's not leading. That's called following.

[Historic NY]

3. Then its obvious who they fear will accomplish the goal to eliminate them.

[SunSeeker]

25. ^^^THIS^^^

[NCTraveler]

4. Funny. Hate isn't the reaction I had.

I reserve my hate for the private prison industry, not personalities.

[dbackjon]

29. [phone]

[BootinUp]

5. I guess the gamblers weren't afraid of Bernie. nt

[Samantha]

54. Classic political maneuver

I first noticed it when she usurped the income inequality plank. For as long as I have been observing her, I have never heard her pounce on this issue like she has done recently. But this is how one disarms one's opponent -- make his or her pronounced issues yours so that the public sees no daylight between the two of you. In order to win an election, one has to differentiate himself or herself from his opponent. Bernie has done a remarkable job on this, and it seems plank by plank Hillary is making his platform her platform.

Of course, Bill Clinton was famous for this so it seems very possible he has pushed her in this direction. Personally, every time I see her do this, I just lose more respect for her. Why can't Hillary just be Hillary?

Sam

[Cha]

58. Poor bernie.. did the stocks fall when he said it?

[freedom fighter jh]

59. But that's good!

It means Bernie's position wins even if Hillary wins the primary.

If she gets elected, we'll have to hold her to it.

[Warren DeMontague]

6. Good.

She's right, of course.

[kenfrequed]

7. The real reason for the stock drop

Oh, by the way the real reason that private prisons stocks fell might be more related to recent FCC regulations.


Private prisons were previously allowed to charge upwards of 14 to 17 dollars per minute for phone calls once they were directed into the prison. This week the FCC announced that they would cap the per minute charges for incoming phone calls going into prisons. One of the numbers floated was a $0.21 cap on per minute charges from prisons. Going from $14 to $0.21 is huge and so is the loss of revenue.

We should really do our homework on this before attributing this drop to anybodies political campaign.

[jkbRN]

8. Thank you for the clarification:)

[Rose Siding]

16. Probably not. That happened over a week ago and

Inmate calling services are contracted by prisons. They're separate entities.

[kenfrequed]

22. No.

You are talking about government run prisons. They use contracted calling services.


Private prisons actually manage their own inmate calling services. Corrective Corporations of America does make money off of phone calls to and from prisoners.

[jwirr]

31. And I would guess that some of the changes being called for

by Bernie regarding MJ might just have pushed it further.

[kenfrequed]

42. I wouldn't say that

Again, I do not think it is likely the words of any politician so far from the actual election would cause a precipitous drop. If a candidate ran on that and Won the election, then I would possibly agree. Or if a sitting president said it in the state of the union. But this far out it is unlikely that a candidates word would cause a drop.

The reason is the FCC decision.

So no, despite my bias towards Bernie, it is unlikely he could have such an effect either, unless he was elected.

[jwirr]

49. I suppose not. Especially when they do not think he will win.

[riversedge]

11. Here is Hillary's tweet.....

Hillary Clinton ?@HillaryClinton 2h2 hours ago

"We need to end private prisons. Protecting public safety...should never be outsourced or left to unaccountable corporations." —Hillary

[Fred Sanders]

14. That is, inexplicably, going to somehow, in some way, offend Sanders supporters.

When Sanders said the exact same thing I do not recall private prison stocks dropping. And not twice, for sure!

If recent history is any guide, the "I do not trust Hillary" flames will be fanned shortly.

[frylock]

17. HILLARY 2016: Me too!

[Historic NY]

40. Boom +1

[artislife]

46. I love the epiphanies she is having lately.

Of course, I liked them when Bernie had them earlier, too.

[riversedge]

62. It is a beautiful day. Both can have a few good ones.

[frylock]

15. All behold the awesome power of @Hillary!

I can't wait till @Hillary tweets "cut it out" to the banksters, because then they'll know she's super serial!

[BootinUp]

19. Are you suggesting the stock drop was just a coinky dink?

[frylock]

21. Oh, not at all. Everyone fears @Hillary!

Hillary is showing the world that Twitter is how progressives who get things done get things done by progressives!

[icuc]

23. All hail the @Hillary

We are voting for @Hillary, right?

[arcane1]

24. She can always be found on the trailing edge of good ideas.

[BootinUp]

27. I don't think it would have bothered Hillary if

Bernie made the stock market dive a little.

[artislife]

47. Caboosing it all the way! nt

[redstateblues]

51. Like Lindsey Graham says about our President

leading from behind- nice RW talking points

[artislife]

56. Ha ha ha

You think the only ones who don't care for her are on the right.

She isn't progressive enough, she's a johnny come lately. A timid politician.

[kenfrequed]

45. I already explained it upthread

No candidate this far out from the national primary, much less the election would have this kind of an effect.


It was the recent FCC decision and the expectation of losing a lot of money from scamming phone calls made into and out of Prison. We are talking a revenue drop of at bare minimum 95% from phone calls by the CCA. The absolute bargain basement minimum that people are being charged is $5 per minute and the FCC is capping it at $0.21 a minute. That is a substantial loss and I think they must have found out that they cannot fight the FCC on this.

[BootinUp]

50. I read your post upthread

At this point I am believing the news reports though. This is going to hurt some folks but its time they realize that Hillary is now the leader of this (the Democratic Party).

[kenfrequed]

52. No candidate this far out affects the market like that.

You are simply believing something because you want to regardless of any contrary data.

[Fumesucker]

20. It would be interesting to see who has been short sellling prison stocks recently...

[Marty McGraw]

28. ( ._.)

Che'l have to wait & Sea..

[kenfrequed]

48. It isn't a conspiracy.

It is just lost profits from CCA and other private prison companies leeching money from the families of prisoners. Come on, this is just as bad as the people trying to give Clinton the credit for this drop.

[Fumesucker]

55. Yeah, and anyone who knew that tweet was coming could have sold short and made a chunk

Of course Hillary has told her contributors not to worry, this is just razamatazz to set up the marks.

[SunSeeker]

26. K & R

[YOHABLO]

30. Hillary and Obama both ran by promises to the left, only to govern centrist right after elected.

It's so obvious and people continue to be fooled by the rhetoric. As if they're going to keep there word when up against Wallstreet, The Pentagon, and a Nut Case Rightwing Congress. It's all politics, and it's just a game. And we are fools.

[BootinUp]

35. I, of course, see these types of claims

from time to time on the tubes. I can tell you that in 2008 I was glued to the primary coverage (supporting Hillary) and for the life of me I can't figure out what certain lefties are talking about when they say Obama hasn't governed as he promised. So I would ask you to be more specific so that we could understand. Thanks in advance.

[Matariki]

32. Wow.

I hope she means it. And not just saying that to get votes.

Also - "Corrections Corp. of America"? That is just so completely wrong and fucked up. I hope they become 100% obsolete.

[Maedhros]

34. Does Hillary intend on backing up this statement with action?

Is she going to fire Richard Sullivan, Brian Popper and the rest of the prison industry lobbyist working for her campaign?

https://theintercept.com/2015/07/23/private-prison-lobbyists-raising-cash-hillary-clinton/%C2%A0%E2%80%A6

Richard Sullivan, of the lobbying firm Capitol Counsel, is a bundler for the Clinton campaign, bringing in $44,859 in contributions in a few short months. Sullivan is also a registered lobbyist for the Geo Group, a company that operates a number of jails, including immigrant detention centers, for profit.

As we reported yesterday, fully five Clinton bundlers work for the lobbying and law firm Akin Gump Strauss Hauer & Feld. Corrections Corporation of America, the largest private prison company in America, paid Akin Gump $240,000 in lobbying fees last year. The firm also serves as a law firm for the prison giant, representing the company in court.

Akin Gump lobbyist and Clinton bundler Brian Popper disclosed that he previously helped CCA defeat efforts to compel private prisons to respond to Freedom of Information Act requests.

[BootinUp]

37. Too insulting to bother with really. nt

[reformist2]

38. That was my first question, too. I don't take her word for anything. Except maybe abortion.

[LuvLoogie]

53. Akin Gump recieved $810,000 from The Seneca Nation of Indians--human rights organization

So it would be more correct to say Native American human rights lobbyists raising cash for Hillary.

Your disillusionment can only grow.

I heard a right wing host on a black community talk radio program once tell the audience that Jimmy Carter prevented African American-owned businesses from doing business with businesses in Africa. He was trying to slam Jimmy Carter, but the host never brought up the fact that what he was refering to was the sanctions Jimmy Carter pushed against Apartheid South Africa.

Edit to add: The sanctions apllied to all American business in South Africa.

[Cassiopeia]

36. I'll bet that brought on a few tense phone calls from her donor list.

[Maedhros]

39. Nah, they know she's just working the crowd.[n/t]

[Sheepshank]

41. I don't cRe who rattles the chains of private prisons

So long as they process gets reversed.

There is a high likelihood that since Clinton is the front runner and since Clinton has a hogh probability of pressing this issue and getting it done, the investors are totally freaking out

[jfern]

57. She sent a tweet to Imperial Japan telling them to "cut it out"

Then you know what happened.