Remember the GameStop mania of 2021, fueled as it was by forcing short sellers to cover their bets?
However, when the stock jumps instead, it forces short sellers to buy back shares in order to limit their losses.
The stock market is in the middle of a strong rally as inflation pressures ease and the Fed nears the end of its rate-hiking campaign.
GameStop was once the most shorted stock in the market, with short interest as a percentage of shares available for trading exceeding 100%.
Carvana , Novavax, Lucid Group and Beyond Meat were also heavily targeted by short sellers.
Persons:
Adam Parker, Trivariate, Parker
Organizations:
Research, Fed, Dow Jones, GameStop, Nasdaq, Therapeutics