Could A "Sell The News" Reaction Rock The DryShips (DRYS) Boat?

Shares of DryShips, Inc. (Nasdaq: DRYS) have been running for the past four sessions on little-to-no news. Today, the stock is up another 20% on actually "meaty" news that the company will not buy four dry bulk carriers from companies owned by the CEO which will save them $400 million.

While the stock is up this morning, could we start to see a "buy the rumor, sell the news" reaction? Or is this just the start of "short busting" in the name? The stock is up 200% in the past five sessions, so selling the news would be logical, but we all know that this market is anything but logical.

Also today news out of China on imports and exports was bad, but hey who's worried about that?

Others in the group have also been running recently: Diana Shipping Inc. (NYSE: DSX), Navios Maritime Holdings Inc. (NYSE: NM), Frontline Ltd. (NYSE: FRO), Excel Maritime Carriers, Ltd. (NYSE: EXM), Eagle Bulk Shipping Inc. (Nasdaq: EGLE), Star Bulk Carriers Corp. (Nasdaq: SBLK). The sector ETF is Claymore/Delta Global Shipping (NYSE: SEA).

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