U.K. Proposed Ban on Shorting Financials Until JANUARY

Discussion in 'Wall St. News' started by ByLoSellHi, Sep 18, 2008.

  1. Specterx

    Specterx

    What total nonsense. How exactly do short sellers cause "financial terrorism?" They're helping to discover the true market price of these stocks, which is evidently zero.

    Do you understand that, in the case of LEH, literally anybody in the world with the cash and the will could have bought it at a fire-sale price on Sunday? Nobody wanted to buy, at any price. Not BoA, not the Chinese, not Barclays, not Abu Dhabi, nobody. If anything there is not enough short selling as LEH stock should've been going for pennies weeks or months ago.
     
    #21     Sep 18, 2008
  2. Specterx

    Specterx

    How can you say it "worked" when you don't know what would have happened otherwise?

    Every short seller must eventually buy the shares back, unless they pick a real loser (like LEH) that can't even squeeze by with government support and earnings manipulation.
     
    #22     Sep 18, 2008
  3. Corelio

    Corelio

    #23     Sep 19, 2008