isplicer said: "Stop and think what would happen if one couldn't go short on currencies and commodities, two markets that control the economy to a far greater extent. Imagine the consequences if a business couldn't hedge their cashflow due to currency fluctuations."
isplicer,
There are mechanisms other than short selling to achieve these goals. I am sure you can think of some.
Short selling isn't necessary for proper functioning of the stock market, it hasn't existed since the beginning of time, and it has been banned in equity markets for periods in the past and these markets still functioned.
You may argue that short selling is beneficial but that is a different debate.
Kray's comment of "cyclone Iggy may hit Twiggy", as a reason to short sell FMG, is not endearing.
Anyway, check out the wikipedia article on short selling.
http://en.wikipedia.org/wiki/Short_(finance)
It also has a history of short selling.
isplicer said: "Stop and think what would happen if one couldn't...
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Last
$20.40 |
Change
0.050(0.25%) |
Mkt cap ! $63.27B | |||
| Open | High | Low | Value | Volume |
| $20.47 | $20.68 | $20.37 | $43.22M | 2.106M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 3 | 144 | $20.40 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $20.41 | 4218 | 12 |
View Market Depth
| Last trade - 12.43pm 29/07/2024 (20 minute delay) ? |
| FMG (ASX) Chart |