Daniel Solin of U.S. News & World Report writes about why the ratings decline at CNBC is actually a good thing.
Solin writes, “According to published reports, ratings for CNBC have dropped dramatically. Viewers of its morning business shows are down 10 percent. Big name shows like Squawk Box and Closing Bell have declined for four straight quarters. On April 23, only a pathetic 99,000 viewers watched Squawk Box.
“This mish-mash of ‘financial information’ is misleading to investors. It perpetuates the myth that owning individual stocks is a good idea, that some ‘expert’ can tell you what stock to buy or sell and that you should attempt to select an actively managed mutual fund that will outperform its benchmark. All of this is presented against a backdrop of intense activity on the floor of the New York Stock Exchange and elsewhere, giving viewers a false sense of urgency and implying that minute-by-minute analysis of what’s going on in the markets is critical for investing success.
“This noise is akin to the sound of coins dropping into slot machines in Las Vegas, giving gamblers the impression the next big “win” is as close as the press of the button on their machine. The gambling analogy is an apt one.”
Read more here.