Posts filed under “Short Selling”

Boockvar on short selling

My 2 cents on the SEC talk on altering the short selling rules:

Short sellers (SS) didn’t get people to buy homes with no money down, SS didn’t convince people to buy homes with teaser rates, SS didn’t convince people to lie about their income on their mortgage applications, SS didn’t tell banks/brokers to lever up to such huge levels, SS didn’t tell Greenspan to cut rates to 1% and leave it there, SS didn’t invent FNM and FRE, SS didn’t tell the OTS, OCC, FDIC, Fed, SEC, FFIEC, FTC, FHFA and all the state regulators to twiddle their thumbs all day, SS didn’t tell the rating agencies to rate AAA on anything that moved, SS didn’t tell banks to lend to commercial real estate investors on a property where the rent didn’t cover the mortgage payment, SS didn’t tell the average consumer to spend more money than they make and borrow difference.

Short selling is a legitimate form of speculation that fully enhances market liquidity and price discovery.

Category: Short Selling

Did Naked Shorting Do Lehman In?

Oh, this is going to get the Sith Lords all hot & bothered! Both the WSJ and Bloomberg have articles this morning about Naked Shorting. The Bloomberg article more explicitly suggests that Lehman was “brought down,” in part, by naked shorting: Naked Short Sales Hint Fraud in Bringing Down Lehman “The biggest bankruptcy in history…Read More

Category: Bailouts, Credit, Derivatives, Markets, Short Selling

Chanos on What’s Ahead

This is what CNBC does so well:

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Category: Economy, Markets, Short Selling, Video

Interview with Jim Chanos

NBR’s Darren Gersh talked with Jim Chanos, President of Kynikos Associates. He asked the legendary short seller for his take on investment opportunities in this market. A portion of the interview aired in tonight’s program. You can watch the extended version here. Just click the image below. (You need Flash installed to watch.)

click for video


11:44
Thursday, February 12, 2009

via Nightly Business Report

Category: Markets, Regulation, Short Selling, Video

Bears Lose Conviction in Face of Cheap Stocks

Doh! The biggest bears in U.S. stocks are losing their conviction after the steepest decline in the Standard & Poor’s 500 Index since the Great Depression. > > Source: Cheapest Stocks Since 1990 Reduce U.S. Short Selling Lynn Thomasson Bloomberg, Feb. 9 2009 http://www.bloomberg.com/apps/news?pid=20601213&sid=ajvP_h.al.70&

Category: Markets, Short Selling, Valuation

Quote of the Day: Blaming Short Sellers

There is a fascinating article about John Paulson in this month’s Portfolio. What is so intriguiging is not the billions Paulson made on the collapse, but this exchange between short fund manager Jim Chanos and Bear Stearns CEO Jimmy Cayne. Chanos, for one, is tired of the blame-the-shorts litany, and he recalls a conversation with…Read More

Category: Bailouts, Corporate Management, Short Selling

Mega-Bear Quartet

Doug Short overlays the 4 major bear markets of the past centruy onto one chart. Its a comparison of today’s S&P 500, the Dow post 1929, the Nikkei post 1989, and the NASDAQ after the tech bubble: > Chart via Doug Short Here’s another link that allows you to see the comparison by degrees. Very…Read More

Category: Index/ETFs, Markets, Short Selling, Technical Analysis

Is Citi about to WAMU ?

I have no special insight into Citigroup (C) other than noting: -Its been a huge round trip from 1995 to 2006 peak and back -It traded 750 million shares today -It gave up a quarter of its value. It trades like its going to go to zero. Is Citi TBTF (too big to fail) ? …Read More

Category: Credit, Derivatives, Markets, Short Selling

Fear vs. Facts on Lehman

Einhorn & Ritholtz vs Gasparino and Fuld:

Category: Short Selling, Video

Wall Street Rug

Category: Psychology, Short Selling