From Reuters | The Chicago Board Options Exchange said on Tuesday that Congress was “interfering with micro market mechanisms that had nothing to do with the crisis.”
“Because the stock market went down and people complained to Congress,” said Chicago Board Options Exchange Chief Executive William Brodsky, “short sales became one of the whipping boys.”
Get the full story: reuters.com.
Reading the ThomsonReuters article, I think that the CBOE protests too much. What’s so bad about restricting short selling after a stock has gone down 10%? Do they want the speculators to drive it down 95% like they did the last time around?
Do you think we should also restrict buying after a stock has gone up 10%, jack?