I envision Shorts like a rubber band - the more Shorts the more the rubber band is stretched. At some point something's gotta give.
Will the Shorters unwind via a CR or a removal from the ASX 200, or will they have to buy back through buying on market?
22.8 million Shorts will require a heck of a lot of unwinding! Volume on inclusion into the ASX 300 was 25.3 million shares, into the ASX 200 was far less at 12.5 million shares, but its unlikely all those shares were Index Funds.
Even removal from both the ASX 200 and ASX 300, and unlikely both will occur in June, will be challenging
(20min delay)