Err, no

Facebook under pressure as short-sellers pile in
Facebook shares will come under further pressure on Monday after speculators staked $1bn (£651m) on the company\’s market value continuing to spiral downward.

The downward pressure comes from people short selling the stock. Not from people having short sold the stock…..the effect is already in the share price therefore.

1 thought on “Err, no”

  1. To be pedantic the “8% of the stock in the hands of short sellers” may refer to the amount of borrow available in Facebook. Not all of this may have been actually shorted yet.

    Would be interesting to know what the cost of borrow is on Facebook at the moment.

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