Expect the biggest crash since the Great Depression if this goes through — no shorts to cover, none to buy during panics. Of course, a huge phony baloney rally could happen first.
This is the stuff of which third world stock exchanges are made. This is proved by the fact that the UK implemented it earlier today. snicker
“No shorts to cover, none to buy during panics.”
Yup.
As you look at the shares of stock that shot up fast late in the day, we find lots of them with very large short positions. Hmmm, perhaps they are very stinky companines. Yup, change the rules in the middle of the game, you’ll affect the current score. But, the current market participants will start to vanish cause they cannot figure out how to actually win.