Re:Ask HN: Please explain short selling?
by mseebach on Monday June 14, 2010 @08:53AM
(#1429522)
> The people lending the short are expecting the stock to go up
They might agree that the stock is going to go down, but, because they're long, i.e. expecting the stock to go up over a long period of time (e.g. by the time they retire), they don't care, or at the very least isn't willing to make the gamble.
They might agree that the stock is going to go down, but, because they're long, i.e. expecting the stock to go up over a long period of time (e.g. by the time they retire), they don't care, or at the very least isn't willing to make the gamble.
Also, there's a fee for the lending.