• IronBird@lemmy.world
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    9 days ago

    moreso the fact you can sell stuff you don’t own, when it comes to “why X stock dropped”. it’s a casino, the post-drop articles saying why are mostly just narrative building

    • Bronzebeard@lemmy.zip
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      8 days ago

      “Sell stuff you don’t own”?..it sounds like you don’t understand what stock is

        • Bronzebeard@lemmy.zip
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          8 days ago

          No it really sounds like you have no fucking clue what stock is. Unless you’re talking about options, which I’ll point out, no one, including yourself, has actually mentioned, but you’d still be wrong about what those represent.

          Partial ownership of a company is not “something you don’t even own”

          • IronBird@lemmy.world
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            8 days ago

            let me spell it out for you, since you apparently can’t connect the dots yourself…short selling, you can do it without options

            and brokers have many ways to technically “find shares” to borrow that essentially boil down to just ignoring all do-not-borrow designations people might utilize

            shorting is artificial sell pressure used with abandon in US markets under the justification of “increasing liquidity”, when in practice it’s a tool used to extract liquidity. at a high enough level, all you need to be profitable trading is volume to trade into, and when the market is “exciting” more people trade

            after 2000-2008 the majority of the rest of world massively cracked down on naked shorting, the US just slightly tightened leverage ratios (which there are dozen different ways for big funds to ignore)