What is rumourtrage?

Rumourtrage is the practice of spreading false news about a company, leading to a drop in its stock price, and followed by increased trade in its shares. This is usually done before a takeover bid. Rumourtrage is common in the corporate world and authorities have found it tough to stamp out the practice as it hinges on hearsay. It is especially used by traders when the market is volatile.

Rumourtrage, False news, Company, Stock price, Takeover bid, Corporate world, Volatile market