Flaherty Says He Wishes Canada Housing Short Sellers Bad LuckCecile Gutscher
Canadian Finance Minister Jim Flaherty says he wishes “bad luck” to short sellers seeking to profit from declines in the nation’s housing prices.
Flaherty, speaking to reporters in Waterloo, Ontario, said the government has taken measures to tighten mortgage lending rules, helping to moderate price increases. Other countries that have experienced sharp declines in housing prices hadn’t taken such measures, Flaherty said.
Short sellers profit from price declines by selling borrowed securities and repurchasing them at cheaper levels.