Mish Reports: SEC States - NO MORE SHORTING

Zynox · 09-19-2008, 07:17 AM

http://globaleconomicanalysis.blogspot.com/

"Peak Insanity: SEC Plans to Temporarily Ban Short-Selling

Every time I think the height of insanity has been reached I have been proven wrong. My new official statement is: "There is no upward limit on insane actions by Congress, the SEC, the president, or for that matter anyone else."

From WSJ:

"The Securities and Exchange Commission took its most aggressive assault against bearish stock bets by stating its intention to issue a temporary ban on short-selling.

SEC Chairman Christopher Cox briefed Congress late Thursday of the agency's intention to take the extraordinary step of interfering with the market's regular functioning. Short-selling is a trading strategy of selling borrowed stock in hopes it falls and can be repurchased at a lower price."

So, the rules change whenever they become inconvenient ... reminds me of the 2000 and 2004 elections, they grasp at straws ... this is equivalent of closing half the bank, you may bet up but not down ... it may actually seize trading altogether ...

~ namaste ~

09-19-2008, 07:17 AM	#1
Zynox Avalon Senior Member Join Date: Sep 2008 Location: Ann Arbor, Michigan Posts: 243	Mish Reports: SEC States - NO MORE SHORTING http://globaleconomicanalysis.blogspot.com/ "Peak Insanity: SEC Plans to Temporarily Ban Short-Selling Every time I think the height of insanity has been reached I have been proven wrong. My new official statement is: "There is no upward limit on insane actions by Congress, the SEC, the president, or for that matter anyone else." From WSJ: "The Securities and Exchange Commission took its most aggressive assault against bearish stock bets by stating its intention to issue a temporary ban on short-selling. SEC Chairman Christopher Cox briefed Congress late Thursday of the agency's intention to take the extraordinary step of interfering with the market's regular functioning. Short-selling is a trading strategy of selling borrowed stock in hopes it falls and can be repurchased at a lower price." So, the rules change whenever they become inconvenient ... reminds me of the 2000 and 2004 elections, they grasp at straws ... this is equivalent of closing half the bank, you may bet up but not down ... it may actually seize trading altogether ... ~ namaste ~ Last edited by Zynox; 09-19-2008 at 07:20 AM.