• Try Forefield Advisor

  • Calendar

    October 2008
    S M T W T F S
    « Sep   Nov »
  • Categories

  • Archives

  • www.forefield.com

Ban on short selling extended

The SEC has extended the ban on short sales of securites from roughly 1,000 companies. It originally had been scheduled to expire as of midnight tonight (Oct. 2), with an extension if necessary. The new expiration is 3 days after enactment of the Emergency Economic Stabilization Act of 2008, passed by the Senate last night and scheduled to be considered by the House of Representatives by Friday. If the act is not passed, the order approving the ban will expire at midnight on Oct. 17.

In case anyone’s wondering how the number of companies for which short sales are banned went from 799 to 1,000, here’s what’s been happening. Companies may apply to individual exchanges, such as the NYSE, for inclusion as a finance-related company; the exchanges are then permitted to include companies on the list for which short sales are banned. As a result, the list has expanded since the original order.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: