February 24, 2009
The stock market, and especially the financials, are being destroyed by hedge funds, short
sellers, and the ultra short XLF's. The government is trying to support the banks, but these guys
don't care if they destroy them. Some use double and triple leverage to bet against the
economy and America. Two suggestions:
1. Restore the short selling uptick rule that was in place in the 90's.
2. Eliminate the use of leverage for short selling. Borrowing money to sell doesn't make sense at
all.
William Gaffney