Have Short Sellers Been Tanking Bank Stocks? Group Wants SEC to Investigate

Haima Marlier was a guest on Marketplace discussing the American Bankers Association (ABA) asking the Securities and Exchange Commission (SEC) to investigate short sellers.

According to Haima, short selling on its own “can be really valuable information when a public company is in fact overvalued.” But what the ABA is worried about is short selling that crosses the line into market manipulation. “What that would look like is someone using social media to cast doubt on the financial health of a public company and that person doesn’t disclose that they have already taken a short position in that stock.”

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