Shorts Get Best Day in Four Years as U.S. Picks Plummet 5%
- Short interest in S&P 500 highest since June '12 and climbing
- Buy-the-dip gone as investors wait for S&P to test August low
Short Sellers Are Having a Field Day
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American short sellers, whose bearish bets are ballooning to levels not seen in three years, just had their most profitable day since 2011.
With the proportion of Standard & Poor’s 500 Index shares borrowed and sold hovering just below 3 percent, a gauge of companies with the most bearish wagers slid 5.1 percent Monday, the most in 48 months, data compiled by Bloomberg and Goldman Sachs Group Inc. show. The basket is down more than 28 percent since June, almost three times as much as the S&P 500.