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Spain Follows Italy In Banning Short Selling

Tyler Durden's picture




 

Moments after we reported the announcement of the Italian short-selling ban we had a simple question:

We now have our answer, as Spain has jumped on the banwagonTM

  • SPAIN STOCK MARKET REGULATOR BANS SHORT SELLING
  • SPAIN'S SHORT SELLING BAN INCLUDES DERIVATIVES, OTC INSTRUMENTS
  • SPAIN'S SHORT SELLING BAN COULD BE EXTENDED BEYOND 3 MONTHS

And just because in Europe one has to constantly outdo everyone else, the Spanish short selling ban is on all stocks, not just financials.

Next up on the banwagon: everyone else, now that the stigma of admitting 2012 is precisely just like 2011 (as we have been warning since January 1 of this year) is gone. Expect the ultra short relief rally to be follow by new plunge to historic lows.

 

 

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Mon, 07/23/2012 - 08:33 | 2642000 Squishi
Squishi's picture

now they just need to ban Long buying and everything will be fixed. 

Mon, 07/23/2012 - 08:38 | 2642014 TruthInSunshine
TruthInSunshine's picture

Bans on short selling will definitely resolve the arithmetic-based systemic problems holding the global economy and Broken-By-Bernank markets back.

Everything is fine. U.S. companies will do well. It's not like the EU is the largest economic block and base of consumption in the world or that it will filter through and adversely impact U.S. corporate earnings, or that China, Japan, South Korea, Canada or Australia won't be hampered further either.

I really don't think we needed to get to this point. If everyone had listened to Krugman, and had urged epicly indebted nations to borrow themselves out of their debt black holes, we'd be all good right now.

Paul Krugman gets no respect.

Eat your peas...and corn...bitchez.

/s

Mon, 07/23/2012 - 08:45 | 2642048 GetZeeGold
GetZeeGold's picture

 

 

Short selling is for the 1%........we can't have people making money on our stupidity.....even if they knew that was exactly what was going to happen.

 

Mon, 07/23/2012 - 09:11 | 2642138 Stuck on Zero
Stuck on Zero's picture

We mustn't have free markets, say the governments.

 

Mon, 07/23/2012 - 09:12 | 2642141 Precious
Precious's picture

Called it here

Look out below.  The waterslide is open for business.

 

Mon, 07/23/2012 - 10:17 | 2642378 Neezer
Neezer's picture

"If you made money by shorting the stocks of our nation's top companies, you didn't build that. Somebody else made that happen. The Government made that happen. My economic policy made that happen. It was my gutsy call that made you successful."

-Barry O'blama

Mon, 07/23/2012 - 08:38 | 2642020 new game
new game's picture

ban the can

Mon, 07/23/2012 - 08:46 | 2642059 JackT
JackT's picture

no..just ban the humans, let the robots be free.

Mon, 07/23/2012 - 09:07 | 2642124 GetZeeGold
GetZeeGold's picture

 

 

Calling Skynet right now.

 

Mon, 07/23/2012 - 09:25 | 2642201 Chief_Illiniwek
Chief_Illiniwek's picture

Robots are now "free"?  I'll take two!

What are your hours for pick-up?

Mon, 07/23/2012 - 09:23 | 2642192 Monedas
Monedas's picture

Smacks of manipulation !

Mon, 07/23/2012 - 08:33 | 2642001 SheepRevolution
SheepRevolution's picture

Long Suicidal Pills.

Mon, 07/23/2012 - 11:05 | 2642597 A82EBA
A82EBA's picture

and fire extinguishers

Mon, 07/23/2012 - 08:34 | 2642005 Crisismode
Crisismode's picture

Where is the Euro short-selling ban?

 

 

Mon, 07/23/2012 - 08:36 | 2642010 cossack55
cossack55's picture

Go, plunge, go. But what about the PPT?

Mon, 07/23/2012 - 08:38 | 2642012 Yellowhoard
Yellowhoard's picture

In less discussed news, the Spaniard males will now be forbidden to respond honestly when their wives ask them if their asses look big in some clothes.

Mon, 07/23/2012 - 08:52 | 2642077 Dr. Engali
Dr. Engali's picture

In less discussed news, the Spaniard females will now be forbidden to respond honestly when their husbands ask them if their asses look big in some clothes.

There fixed it.

Mon, 07/23/2012 - 08:38 | 2642019 XtraBullish
XtraBullish's picture

CTRL-P is just around the corner...gold will scream higher as soon as the Germans tell the world that they are collateralizing their bank debt with $5,000 gold.

Mon, 07/23/2012 - 08:39 | 2642022 Temporalist
Temporalist's picture

Come on ZH I expect better than this hyperbole.  This is not a "ban"; this is merely a temporary restricting of undue freedoms by breaking previously held rules for the benefit of "optimists" and to the detriment of "doomers" who know next to little when compared to Herman Van Rompuy and Paul Krugman et al.

Mon, 07/23/2012 - 08:42 | 2642040 Hype Alert
Hype Alert's picture

They're just plugging a loophole.  [/sarc]

Mon, 07/23/2012 - 08:39 | 2642023 txsilverbug
txsilverbug's picture

All they need is for Moochelle Obama to take another US tax payer funded trip to spain to stimulate their economy..

 

Problem solved..

Mon, 07/23/2012 - 09:29 | 2642218 TrainWreck1
TrainWreck1's picture

They are already broke, they don't need a famine on top of everything.

 

Mon, 07/23/2012 - 08:39 | 2642024 q99x2
q99x2's picture

Banksters asking for a rope.

Mon, 07/23/2012 - 08:47 | 2642065 IToldYouSo
IToldYouSo's picture

Sir, I shall gladly and lovingly assist in their request AND I will help them wear it correctly :)

Mon, 07/23/2012 - 09:11 | 2642139 WhyDoesItHurtWh...
WhyDoesItHurtWhen iPee's picture

I have been practising the slip-knot and have some extra rope just for a situation like this.

Mon, 07/23/2012 - 09:36 | 2642237 IToldYouSo
IToldYouSo's picture

thats useful, cos Ive been practicing the half hitch - so I can tie the rope to the lamp post, you can do the loopy bit on the end and we fight to see who puts it over their head :)

Mon, 07/23/2012 - 10:02 | 2642312 WhyDoesItHurtWh...
WhyDoesItHurtWhen iPee's picture

Your on!

Mon, 07/23/2012 - 10:07 | 2642334 Winston Churchill
Winston Churchill's picture

Find another knot.One that works with piano wire.

Mon, 07/23/2012 - 11:23 | 2642678 CCanuck
CCanuck's picture

Sir, I would gladly pay you next Tuesday, for 50ft of Rope today.

Mon, 07/23/2012 - 08:39 | 2642025 Hype Alert
Hype Alert's picture

I guess it will never occur to them that market manipulation is what created this problem.  More of the same, they must be listening to Krugman and Stiglitz.

Mon, 07/23/2012 - 08:40 | 2642027 goat
goat's picture

Amreican citizenism is American

Mon, 07/23/2012 - 08:40 | 2642028 Dr. Engali
Dr. Engali's picture

How many times have they tried this now? Einstein was right when she said: "Insanity is doing the same thing over and over again but expecting different results."

Mon, 07/23/2012 - 09:04 | 2642112 falak pema
falak pema's picture

was Einstein on a multiple orgasm binge when SHE said that?

Mon, 07/23/2012 - 10:55 | 2642557 jez
jez's picture

Urban myth. There is no evidence that Einstein ever said this. Or that he was female.

Mon, 07/23/2012 - 08:40 | 2642030 RobotTrader
RobotTrader's picture

Better start banning short selling on gold, its about to get creamed

Mon, 07/23/2012 - 08:45 | 2642049 TruthInSunshine
TruthInSunshine's picture

RoboTard, we need you to get highly bullish on your paper trade Nasdaq holdings. Really, really bullish...(paper) buying hand over fist.

This will confirm there's a Winners of the New World Death Cross in the making. After all, NASDAQ is the first and best to lead AND bleed.

Did you go all in long Kayak on Friday, bro?

Mon, 07/23/2012 - 10:13 | 2642360 Hedgetard55
Hedgetard55's picture

CMG was his core holding.

Mon, 07/23/2012 - 08:54 | 2642086 DoChenRollingBearing
DoChenRollingBearing's picture

Well timed RobotTrader!  + 1  Au getting slaughtered as I write.

Even though I love gold, I have to admire your recent calls.

On the other hand, it may be a good time to load up on some more while gold is on sale.

Mon, 07/23/2012 - 09:07 | 2642122 DoChenRollingBearing
DoChenRollingBearing's picture

To be fair to my junker, gold is off only 1% or so, Europe (and Dow futures) are down some 2%.

Gold will be good, RobotTrader makes short-term calls that have been spooky-good recently.

Mon, 07/23/2012 - 09:24 | 2642199 Quinvarius
Quinvarius's picture

I don't think being short gold paper gold is wise.  There was a major sell signal a few months ago that did not result in any selling.  The signal was obviously painted, but it did happen.  It was a failed move.  Failed moves turn into fast moves, in the other direction. 

Mon, 07/23/2012 - 09:53 | 2642284 surf0766
surf0766's picture

Only because those calls have been after the trend started. Timing is everything

Mon, 07/23/2012 - 09:08 | 2642126 Quinvarius
Quinvarius's picture

Poor, obnoxious, and stupid is no way to go through life, son.

Mon, 07/23/2012 - 08:40 | 2642031 JohnnyBriefcase
JohnnyBriefcase's picture

I fucking love you guys.

Mon, 07/23/2012 - 08:41 | 2642033 bnbdnb
bnbdnb's picture

Yes, 10 foot dams in 50 foot water. That outta do it.

Mon, 07/23/2012 - 08:41 | 2642037 buzzsaw99
buzzsaw99's picture

It would be funny if it made no perceptible difference. These are not the sellers you are looking for. [/obi wan]

Mon, 07/23/2012 - 08:42 | 2642042 rebelscum1967
rebelscum1967's picture

the link to this just appeared in the SA market currents scroll lmfao...welcome to fight club.

Mon, 07/23/2012 - 08:43 | 2642046 ezcearhoc
ezcearhoc's picture

No sovereign country should be allowed to protect its own economy and people. Foreign speculative investors' profits should come first! What are these regulators thinking?

Mon, 07/23/2012 - 08:49 | 2642070 lizzy36
lizzy36's picture

Well, it would appear that speculators are re-branded investors when the are coming from the long side. 

Let me disavow of the notion that regulators or politicians are protecting their economy or their people. They most certainly are not. The are reaching for another impotent solution, to appear to do something. Even if that something has been proven time and again, to be at best, absolutely useless. 

You think banning short selling is some how going to make banks or countries that have been insolvent for 3 years solvent?

Hey but maybe this time is different. 

Mon, 07/23/2012 - 09:05 | 2642116 nodhannum
nodhannum's picture

Can't wait for the Spanish and/or Italian ban on long buys on the upside, in the interest of protecting the "people" from those foreign speculators of course.

Mon, 07/23/2012 - 09:21 | 2642185 GMadScientist
GMadScientist's picture

Interesting world you live in where there are absolutely zero long specs in the market.

What were these "regulators" thinking...in 2005, 2007, and 2008?

The time when Spain could have protected its economy and people is long past...pretending otherwise won't even delay the inevitable for long anymore.

Mon, 07/23/2012 - 08:44 | 2642050 lizzy36
lizzy36's picture

After spending time with speculators i am able to report that they are the ROOT of all evil in the world. 

In related news guns don't kill people, COSTUMES do.

Mon, 07/23/2012 - 09:17 | 2642163 GMadScientist
GMadScientist's picture

Nice hoodie!

Mon, 07/23/2012 - 08:45 | 2642051 Meesohaawnee
Meesohaawnee's picture

ruh roe raggy

Mon, 07/23/2012 - 08:45 | 2642053 mark7
mark7's picture

Spanish markets are under attack from Angloworld hedge funds, so this is a prudent action. This has nothing to do with "price discovery" or "market efficiency", this is pure speculation based all-out lynching financial mob going after Spain.

Mon, 07/23/2012 - 08:50 | 2642074 Temporalist
Temporalist's picture

Wake the fuck up.  Central Banks discover prices these day much in the same way Columbus "discovered" the americas.

Mon, 07/23/2012 - 08:55 | 2642088 Dr. Engali
Dr. Engali's picture

Maybe Spain should actually work on addressing the real problems instead of tilting at windmills.

Mon, 07/23/2012 - 10:45 | 2642505 falak pema
falak pema's picture

Yes they should take out Goldman Sachs. That would be a spanish goal mine that doesn't suck! 

Mon, 07/23/2012 - 09:00 | 2642099 bnbdnb
bnbdnb's picture

So? Whats your point?

Mon, 07/23/2012 - 09:12 | 2642140 Spastica Rex
Spastica Rex's picture

Poor Ethpaña.

Mon, 07/23/2012 - 09:40 | 2642246 Temporalist
Temporalist's picture

Haha...

 

Theeth are not thee shorths joo are lookeeng for..

Mon, 07/23/2012 - 10:41 | 2642491 falak pema
falak pema's picture

They have Nadal; and they have the football team. So they'll survive. Nothing can happen to them before the next world cup in 2014 in Brazil. That is Oligarchy territory; lots of monney there! Protect your global assets. Coca Cola/Nike wll see to that! 

After that it'll be downhill and the world couldn't care less! 

Cabaleros hang in there for two more years! 

Mon, 07/23/2012 - 08:46 | 2642060 Meesohaawnee
Meesohaawnee's picture

those evil speculators knockin crude.  Oh DTO lookin sweet..

Mon, 07/23/2012 - 08:46 | 2642061 john_connor
john_connor's picture

Can't hedge, therefore sell everything.  will just reduce liquidity.

Mon, 07/23/2012 - 08:47 | 2642062 firstdivision
firstdivision's picture

The ensuing precipitous drop will make one feel QEasy

Mon, 07/23/2012 - 08:48 | 2642063 Piranha
Piranha's picture

Sweet, now you know everything is going to sell off

Same as 2011 but only worse this time

Mon, 07/23/2012 - 08:48 | 2642066 RobotTrader
RobotTrader's picture

Crude oil getting crushed, everything getting thrown overboard.

The Epic Rally in "Paper" continues.

Mon, 07/23/2012 - 08:53 | 2642082 Rainman
Rainman's picture

cool.....deflation ban coming soon

Mon, 07/23/2012 - 09:14 | 2642153 Cleverbot
Cleverbot's picture

Since you are talking about love so much who are you in love with.

Mon, 07/23/2012 - 08:50 | 2642071 Meesohaawnee
Meesohaawnee's picture

i give ya credit robo. you dont hide on days like this. yes crude crushed. DTO has done well in the past for me.

Mon, 07/23/2012 - 08:50 | 2642072 nathan1234
nathan1234's picture

Caveat Emptor

Pieces of paper called share/depository certifcates whose value is decided by the banksters and central banks.

And a whole industry called Wall Street living of the pickings of such trades

 

Mon, 07/23/2012 - 09:00 | 2642102 falak pema
falak pema's picture

Day of the Jackal. Good movie. Its coming again to France.

Day of the Wisigoth is next scheduled for Rome before it turns to day of the Vandal! 

Chacal (1973) - IMDb

Mon, 07/23/2012 - 08:52 | 2642076 Conman
Conman's picture

Oh how i missed those summers days of 11' . Those one sentence headlines give me the morning woody.

Mon, 07/23/2012 - 08:52 | 2642078 Marty Rothbard
Marty Rothbard's picture

Well of course they banned short selling!  If the market reflected true value, it would be a disaster!

 

Mon, 07/23/2012 - 09:08 | 2642127 mark7
mark7's picture

I'd bet you asslick your hedge fund overlords twice a day, four times on Sundays...

Mon, 07/23/2012 - 09:14 | 2642154 GMadScientist
GMadScientist's picture

An expert on that, are ya?

Mon, 07/23/2012 - 08:54 | 2642085 MRSAP
MRSAP's picture

Everytime the same stupid action

Mon, 07/23/2012 - 08:56 | 2642092 Meesohaawnee
Meesohaawnee's picture

does that mean they  will ban vapor volume algo melt ups to?

Mon, 07/23/2012 - 08:57 | 2642093 falak pema
falak pema's picture

the Spaniards should short muni bonds in USA to spite the US oligarchs. Tit for Tat. 

Not that california tit is as juicy as that! Pretty hollowed out after Terminator spent all that money. 

Mon, 07/23/2012 - 09:15 | 2642159 Spastica Rex
Spastica Rex's picture

Jackals turning on each other makes for great entertainment.

Mon, 07/23/2012 - 09:01 | 2642097 virgilcaine
virgilcaine's picture

Note to Spain.. it's the Selling that will get you.  'Short' selling amounts to only 1/10th of all trades. This just re-enforces the Panic about to set in.  It's time to PANIC SAYS SPAIN>

Mon, 07/23/2012 - 08:59 | 2642098 GrinandBearit
GrinandBearit's picture

Everything is dust in the wind...

Mon, 07/23/2012 - 09:05 | 2642119 WmMcK
WmMcK's picture

But Spain is not ... Kansas, is it?

Mon, 07/23/2012 - 09:09 | 2642129 GrinandBearit
GrinandBearit's picture

This shit makes Cambodia look like Kansas.

Mon, 07/23/2012 - 09:16 | 2642161 TrainWreck1
TrainWreck1's picture

When in Spain, do as the Romans.

 

Mon, 07/23/2012 - 09:11 | 2642137 slackrabbit
slackrabbit's picture

because betting on the truth has never been popular..

Mon, 07/23/2012 - 09:13 | 2642147 GMadScientist
GMadScientist's picture

Doh...they forget to ban selling selling.

Mon, 07/23/2012 - 12:32 | 2642956 Grand Supercycle
Grand Supercycle's picture

SPX bearish weekly chart strengthens: an important development.

As mentioned on Friday, SPX downleg continues.

Useful SPX weekly chart at my blog.

http://www.zerohedge.com/news/2012-12-24/market-analysis

Do NOT follow this link or you will be banned from the site!