I still don't get how they can short over 100% of a stock.
So they borrow a bunch of stock, sell it, then reborrow it and sell it, repeat until you hit 140%?
Then if and when it drops you have to buy it, give it back then rebuy it to give it back to the next guy?
How is this even legal, just by working their way through this they drive the price of the stock in the direction they want.
You'll be surprised on what's legal and what's not. Either way, the main nail in the coffin is that Hedge funds gotten way too greedy and are now paying the ultimate price for their greed fueled mistakes.
I still don't get how they can short over 100% of a stock. So they borrow a bunch of stock, sell it, then reborrow it and sell it, repeat until you hit 140%?
Then if and when it drops you have to buy it, give it back then rebuy it to give it back to the next guy?
How is this even legal, just by working their way through this they drive the price of the stock in the direction they want.
You'll be surprised on what's legal and what's not. Either way, the main nail in the coffin is that Hedge funds gotten way too greedy and are now paying the ultimate price for their greed fueled mistakes.
Let the market decide.
The perennial gale of creative destruction is howling.