The subpoenas to some short sellers have been sent out as of recently involving trading information connected to companies like Amazon Microsoft and others Bloomberg reported today.
The DOJ has been “Busy” cracking down on short sellers all year though. Months back we covered the story about the FBI RAIDING SHORT SELLERS homes even.
Short selling is defined on Wikipedia as: “In finance, being short in an asset means investing in such a way that the investor will profit if the value of the asset falls. This is the opposite of a more conventional “long” position, where the investor will profit if the value of the asset rises. There are a number of ways of achieving a short position.“
Short selling in nature is not against the rules in the stock market, but along with short selling there are many issues that seem to be abused by short sellers on a consistent basis in order to make sure they turn a profit on the trading shorting a stock and this is what the DOJ and other regulators are up against.
There have been multiple reports on subpoenas and probes so far this year, but as Charles Payne said in the tweet below “Another “probe”…but will anything come of it?”
Most of the retail investors feel this exact way. That those at the top have all the power to break the rules and if anything, get punished with a slap on the wrist.