Business

Facebook shares gain 5% on mystery announcement

Shares in social networking giant Facebook closed above $30 US for the first time since July on Wednesday amid speculation about an announcement next week.
Facebook CEO Mark Zuckerberg addressed students at the Moscow State University in October. Facebook has provided no details about its announcement next week. (Maxim Shemetov/Reuters)

Shares in social networking giant Facebook closed above $30 US for the first time since July on Wednesday amid speculation about an announcement next week.

Its shares ended trading at $30.59, up $1.53, or 5.26 per cent, on heavy volume on the Nasdaq.

They are up by 60 per cent since hitting a low of $19.21 in November.

Nonetheless, Facebook is still 20 per cent below its initial public offering price last May of $38.

Late yesterday it sent invitations to the media for an event on Tuesday at its headquarters in Menlo Park, Calif., prompting speculation it plans to announce a major new product.

The invitation said simply, "Come see what we're building." It provided no other details.