Executive Fraud Blog

From the Big Picture...

During the day, I had an interesting phone conversation with Joe Besecker of Emerald Asset Management.

And from what he was seeing and hearing about in terms of order flow, the vast majority of the financial short selling the past week or so were being done overseas. It appears that the lion's share of shorting was coming out of overseas bourses such as London and Dubai.It may not be a coincidence that the financial short selling ban is both here and in London.

Then there is another coincidence: The huge increase in shorting of the financials occurred on the anniversary of 9/11. And on top of that, the same institutions attacked on 9/11/01 were the ones suffering in recent days.

Joe asked the question: Is anyone investigating whether this is a case of financial terrorism?

Not sure then why they would suspend short selling in the US. From everything I've heard it seems that the recent ban will do little to help the situation and may even make things worse.