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.pinnacle is reflecting actual market value.
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Then how does Pinnacle ever have the best line for a punter? If Pinny booked to market value then there would always be books that had better lines no matter what side you would take unless all books reflected true market value. Many times Pinny has the best line so it's impossible for their lines to reflect true market value.
On openers and smaller limit types of action Pinny will move on action and is automated like Slash said. They use diiferent algorithms for evey sport depending on how volitale and volume of each sport.
Openers are used as a gauge as to which way sharp and square action will be bet.