Short-Selling Ban Blamed for Bank Freefall

Hate to say I told you so, but read today’s news:

Dublin’s ISEQ index slumped 7.7% to stand at 3,6871 by 1pm – down 305 points. The banking shares were in freefall with their losses being blamed on the ban of ‘short selling’ of financial stocks, which was announced last week. Traders said the ban prevents speculators from balancing out investment risks and resulted in far fewer people willing to buy bank shares as a result.