Is it true that SPY and index ETFs for that matter less prone to market “manipulation” than individual stocks?

volumetwo: Is it true that SPY and index ETFs for that matter less prone to market “manipulation” than individual stocks?

Answers and Views:

Answer by gosh137
Sometimes yes (“penny stocks” traded on the bulletin board or on the pink sheets can more easily be manipulated.) and sometimes no (Even Warren Buffett can’t manipulate the common stock of something like Proctor & Gamble, ExxonMobil, or IBM without the government knowing. Lots of SEC forms to fill out if you buy too much of a company).
Sometimes when he buys “big” (like Burlington Northern Railroad), others follow him and the stock can go up for a short time. But over the longer run, this time it is not different, earnings still matter.