Why do you think they need to close their position? They need to meet margin requirements, which they can do by raising cash. Closing their position is the worst of their options and I don’t see why they would take it.
Everyone who is short has to pay the vig every day, so that hasn’t changed.
Re:The Battle of GameStop
by PartiallyTyped on Tuesday January 26, 2021 @09:55AM
(#25916385)
It costs nothing to hold. They have to choose between a hail Mary and closing.
This is not right. There is a daily fee to borrow any stock. It varies by issue and it changes over time.
Re:The Battle of GameStop
by PartiallyTyped on Tuesday January 26, 2021 @10:14AM
(#25916614)
I was referring to 'us' holding the stock not costing us. They need to pay millions on holding their position open.
They have repeatedly resorted to market manipulation to drive the price down and cut their losses, but people are not selling, there do not exist enough shares for them to close their position. They screwed up royally, they doubled down, from 128% shorted stock to 140% shorted stock, then they resorted to blatant market manipulation, using the media and painting a false narrative.