{"id":2225682,"date":"2024-04-19T21:39:02","date_gmt":"2024-04-20T01:39:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/short-sellers-blamed-by-trump-media-for-stock-swings-in-warning-letter-to-nasdaq\/"},"modified":"2024-04-19T21:41:32","modified_gmt":"2024-04-20T01:41:32","slug":"short-sellers-blamed-by-trump-media-for-stock-swings-in-warning-letter-to-nasdaq","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/short-sellers-blamed-by-trump-media-for-stock-swings-in-warning-letter-to-nasdaq\/","title":{"rendered":"Short sellers have been blamed by Trump Media for stock fluctuations in a cautionary letter to Nasdaq"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">34<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fshort-sellers-blamed-by-trump-media-for-stock-swings-in-warning-letter-to-nasdaq%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2225682&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>Trump Media\u2063 &#038; Technology Group has expressed concerns about potential market manipulation linked to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/binance-crypto-exchange-faces-heavy-scrutiny-as-22-trillion-worth-in-hidden-trades-are-found\/\" title=\"Binance Crypto Exchange Faces Heavy Scrutiny as  Trillion Worth in Hidden Trades Are Found\">short-selling activity<\/a>. The stock, DJT, was highlighted as particularly costly\u200c to short as of April 3, 2024, <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/dems-lost-all-credibility-on-social-distancing-after-biden-celebrations\/\" title=\"Dems Lost All Credibility On Social Distancing After Biden Celebrations\">raising red flags<\/a> \u2062for brokers due to the associated \u200cfinancial risks. For more details, visit the <a href=\"https:\/\/www.washingtonexaminer.com\/tag\/donald-trump\/\" target=\"_blank\" rel=\"noopener\">Washington Examiner<\/a>. Trump Media &#038; Technology Group is worried about market manipulation as DJT \u2062stock is expensive to short by brokers, potentially signaling financial risks. To learn\u200c more, visit the\u2064 Washington Examiner.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<div data-td-block-uid=\"tdi_78\">\n<p><a href=\"https:\/\/www.washingtonexaminer.com\/tag\/donald-trump\/\" target=\"_blank\" rel=\"noopener\" title>Trump<\/a> Media &#038; Technology Group has raised concerns that its <a href=\"https:\/\/www.washingtonexaminer.com\/tag\/stock-market\/\" target=\"_blank\" rel=\"noopener\" title>stock<\/a>, trading under the ticker DJT, may be a target of \u201cpotential <a href=\"https:\/\/www.washingtonexaminer.com\/tag\/stock-market\/\" title>market<\/a> manipulation\u201d due to naked short-selling activity. <\/p>\n<p>\u201cReports indicate that, as of April 3, 2024, DJT was \u2018by far\u2019 \u2018the most expensive U.S. stock to short,\u2019 meaning that brokers have a significant financial incentive to lend non-existent shares,\u201d Trump Media CEO Devin Nunes wrote in an April 18 letter to Nasdaq CEO Adena T. Friedman.<\/p>\n<p>Short selling occurs when a trader borrows shares of stock expected to lose value and then sells the shares on the market. The trader will later purchase the stock at a lower price and then return the shares to their trading firm with the intention of purchasing the stock at a lower price than the borrowed shares. Short selling is legal, whereas <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/s-korea-regulator-fines-two-firms-for-naked-shorts-under-stricter-law\/\" title=\"S.Korea regulator fines two firms for naked shorts under stricter law\">naked short selling<\/a> is not since the trader doesn\u2019t borrow shares of the stock and the investor sells shares not in their possession. Naked short sales lead to a massive decline in a target company\u2019s stock price.<\/p>\n<p>Since going public last month on the Nasdaq exchange, the shares have lost two-thirds of their value from an initial peak. On Friday, shares of Trump Media rose by 9.6% to $36.38.\u00a0This week, Trump Media rose by 28%; however, some investors have taken to Truth Social to complain that short sellers may be contributing to the decline.<\/p>\n<p><a href=\"http:\/\/washingtonexaminer.com\/\"><strong>CLICK HERE TO READ MORE FROM THE WASHINGTON EXAMINER<\/strong><\/a><\/p>\n<p>In the letter, Nunes called on Nasdaq \u201cto advise what steps you can take to foster transparency and compliance by ensuring market makers are adhering\u201d to regulations that prevent naked short selling.<\/p>\n<p>Currently a shortage exists of stock available to borrow to make a short sale against Trump Media shares,\u00a0according to Ihor Dusaniwsky, managing director of predictive analytics at S3 Partners.<\/p>\n<\/p><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Trump Media &amp; Technology Group expressed worries about the potential market manipulation of its stock, DJT, due to naked short-selling. DJT was reported as &#8220;the most expensive U.S. stock to short&#8221; as of April 3, 2024, hinting at brokers facing considerable financial risks<\/p>\n","protected":false},"author":2542,"featured_media":2225683,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/wex-s3.s3.us-east-1.amazonaws.com\/wp-content\/uploads\/2024\/04\/AP24107457129135-1024x683.jpg","fifu_image_alt":"","footnotes":""},"categories":[538],"tags":[],"class_list":["post-2225682","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-washington-examiner"],"fifu_image_url":"https:\/\/wex-s3.s3.us-east-1.amazonaws.com\/wp-content\/uploads\/2024\/04\/AP24107457129135-1024x683.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2225682","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/2542"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2225682"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2225682\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2225683"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2225682"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2225682"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2225682"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}