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CNBC's David Faber: Tepper's Appaloosa Exits Financials

August 10, 2011 | About:

On Monday, David Faber of CNBC made breaking news several times regarding David Tepper's Appaloosa fund. David Tepper is a very successful and influential investor that made a lot of money (I.e. Billions of dollars buying banking and other financial stocks at the 2008-2009 panic lows for the sector. He is also widely created with putting in the Tepper rally when he appeared on CNBC last year and told everyone to buy stocks because the Fed will do QE2.). Faber's report was that Tepper basically was exiting all of his banking/financial stocks as can be seen in his Faber Report at http://www.cnbc.com/id/44060085 .

Now today, I see that Appaloosa filed its latest 13-F report on its holdings dated 8/8/2011. The report shows that Appaloosa still has positions at the end of June 30, 2011 in Bank of America and Wells Fargo to cover two banks that Faber stated Tepper had liquidated. Faber's report only sights "his sources" regarding Appaloosa's portfolio moves on these two stocks, however it is curious that Tepper's Appaloosa appears to have rushed forth (About a week early it appears.) with this documented disclosure to the SEC. In it Tepper's Appaloosa shows that it has positions in both of these stocks.

So did Tepper really sell out as reported by David Faber's Faber Report, which bases its breaking news sighting sources or did he keep them? It seems in the midst of a major market decline when financials like Bank of America that David Tepper had previously lectured was worth close to $27 per share was in a "bear raid" and trading down 20% for the day that Faber should have had hard facts as to whether or not an influential investor like Tepper was in a sell out mode. I think it is time to have some accountability in the reporting of CNBC rather than tabloid style financial reporting for the benefit of trying to increase their viewership rather than information for investors seeking quality data.

I think it would be honorable for David Faber, his Faber Report and CNBC to track now and report as to the accuracy of their report on Tepper's move on bank stocks for it appears there may be a major disagreement between CNBC's reporting hype and the SEC filing. This would be a great time for CNBC to bolster their reputation as reliable and quality reporting. CNBC has lost a lot of their on air personalities for lately it seems anytime another network wants to hire one of their "All Stars" they run immediately to the other network to cover morning shows or talk shows rather than business news (I.e.. Rebecca Jarvis is at CBS Morning Show, Erin Burnett is at CNN for a talk show, Dillan Radigan is at MSNBC with a news talk show, and the list goes on and on.).

Should CNBC journalism carry a disclaimer of "not necessarily business news"?

Happy investing to all. You know you are all gurufocus.com "All Stars".

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