Market Signals: NYSE Group Short Interest as of April 15, 2010
The chart below tracks the number of shares that NYSE members and member organizations have reported short on a schedule of past dates. Twice a month short information is released by the NYSE Group to the public. As of April 15, 2010, 13,900 million shares were short, an increase of 581,278 shares from March 31, 2010. Over the last five reported periods, the number of shares short has remained roughly flat. Yet, during the same period, the S&P500 has experienced a rise of approximately 13%. The current short levels remain near the levels they were during the fall of 2008. During the chart’s observed period, the number of shares short peaked on July 15, 2008 at 18,608 million shares. The current level of shares short would have to increase 33.9% to reach the July 15, 2008 peak. Nevertheless, the nadir of shares short occurred on October 15, 2007 at 11,655 million shares short. The current level of shares short would have to decrease 16.2% to match the previous nadir. Since the short levels tend to be telling at extremes, the current readings do not imply much in regards to potential shifts in the market.
Observing the chart below, one can conclude that at times the shares short appears to be a lagging indicator, which reduces its influence in predicting the future. Yet, in no way would CB ever rely on just one indicator or fundamental factor to make a prediction.
While CB has not stated a market forecast above.
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Tagged with Market Signals, NYSE Short Interest, Short Interest, Short Sellers
