Thursday, June 24, 2004

The New York Times : New Rule on Short Selling

The New York Times > Business > Market Place: New Rule on Short Selling

Ok, time to update your notes on short selling! You can now sell on a downtick. At least temporarily and for some stocks. The SEC approved a one year trial (starting in January 2005 that will remove many of the short sale restrictions for "one-third of the stocks in the Russell 3000." However, for other stocks it may actually be more difficult since the SEC also has made the rules against naked short selling (shorting without first borrowing the shares) more restrictive.

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