For the past week Morgan Stanleyâs stock was besieged with selling pressures as rumors circulated about Mitsubishi backing out of their deal. Both companies denied the rumors circulating and yet the stock tumbled and tumbled hard losing 50% of its value in that week. Today the deal is struck, after some sweetened negotiations due to â the collapse in market price â and the MS market gaps open 50%. At these prices the ratio of price to buy-in is not dissimilar to what it was prior to the raid. Question: If MS had to offer more to get the funds it was going to get previously, why is the stock now worth 50% more than it was just last Friday? Last week and this week Morgan was going to get the same $9 Billion. I am curious as to what people think of those rumors that sent the stock reeling. Rumors that were being denied every day and rumors that have now proven to be bogus.