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The Short Sellers Have Disappeared

Sam Ro   

The Short Sellers Have Disappeared
Stock Market1 min read

The stock market's epic bull run continues. Yesterday, the S&P 500 closed at an all-time high.

One of the notable characteristics of this rally has been the lack of major pullbacks or corrections.

Perhaps it is due to the absence of short sellers. The Wall Street Journal's Steven Russolillo spoke with Bespoke Investment Group's Paul Hickey.

Short interest, or bearish bets, on S&P 500 stocks fell to 3.6% of shares outstanding during the final two weeks of March, the lowest level in a year, data from Bespoke Investment Group show. Short sellers borrow shares in hopes of buying them back at a later date, aiming to profit from a price decline.
...
For short sellers, Hickey wonders if they’ve “thrown in the towel.”

U.S. futures are up slightly ahead of the market open. Perhaps we'll see another all time closing high today.

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