Know what you own. [MNKD convertible bonds]

[cjm18]

Oct 29, 2024 21:15:00 GMT -5 daisyz said:

Oct 29, 2024 20:47:51 GMT -5 cjm18 said:

83% short today. Most volume was at $7 in the morning. Bond holders shorting?

How does a stock go up w 83% shorting?

Perhaps a pre-determined trade and shorted when it was above 7.
So stock is currently below the short price.

[BD]

Seems like a meaningless number to me, only because: who has data on every trade and whether the selling party is borrowing those shares first or not? Is this publicly available somewhere I was not aware of?

[prcgorman2]

FINRA provides a report, but not sure if you have to pay for it. My memory is the free information is limited and potentially stale, but I haven't looked at it in quite a while so would like to see your question answered by someone who knows.

[cjm18]

Oct 30, 2024 0:16:33 GMT -5 prcgorman2 said:

FINRA provides a report, but not sure if you have to pay for it. My memory is the free information is limited and potentially stale, but I haven't looked at it in quite a while so would like to see your question answered by someone who knows.

www.finra.org/finra-data/browse-catalog/short-sale-volume-data

[BD]

Here's what Google AI says in response to "is finra short sale volume data accurate"

FINRA's short sale volume data can be inaccurate and misleading because it doesn't represent the full picture of short selling activity:

Doesn't include all short selling

The data only includes trades that are public, and it doesn't include off-exchange short sale transactions.

Combines different types of short selling

The data combines short selling by directional investors with short selling by market makers, who may only have temporary positions.

Doesn't reflect offsetting buys

The data doesn't account for offsetting buy activity, which can make short sale volume appear higher than it actually is.

The most accurate measure of short selling is the data that broker-dealers report to FINRA every two weeks. This data reflects the total number of shares sold short across all firm and customer accounts.

FINRA also publishes short interest reports, which are snapshots of short positions held by brokerage firms on specific days each month. These reports can help investors understand market sentiment around a security or exchange.

[prcgorman2]

Inaccurate and stale and incentive to keep it that way. Transparency is not welcome.

[ktim]

Oct 29, 2024 21:15:00 GMT -5 daisyz said:

Oct 29, 2024 20:47:51 GMT -5 cjm18 said:

83% short today. Most volume was at $7 in the morning. Bond holders shorting?

How does a stock go up w 83% shorting?

Because that number is almost meaningless.  If a money market firm buys from you and immediately sells the share to someone else earning the spread as profit, that is not a short sale.  If the market maker sells you a "market price" share they don't have and immediately turns around and buys one from someone else earning the spread as profit, that records a short sale.  Yet there is no practical difference that has occurred.  A share has been moved from one retail investor to another... and no increase in open short interest.

[peppy]

Oct 29, 2024 20:47:51 GMT -5 cjm18 said:

83% short today. Most volume was at $7 in the morning. Bond holders shorting?

They are going to get their asses handed to them.
It is only Wednesday.

[ktim]

Oct 30, 2024 11:41:56 GMT -5 ktim said:

Oct 29, 2024 21:15:00 GMT -5 daisyz said:

How does a stock go up w 83% shorting?

Because that number is almost meaningless.  If a money market firm buys from you and immediately sells the share to someone else earning the spread as profit, that is not a short sale.  If the market maker sells you a "market price" share they don't have and immediately turns around and buys one from someone else earning the spread as profit, that records a short sale.  Yet there is no practical difference that has occurred.  A share has been moved from one retail investor to another... and no increase in open short interest.

I think I had a senior moment... that's market making firm not money market firm.

[BD]

So we all had similar senior moments and read it as "market making" lol

[cretin11]

Oct 30, 2024 14:50:00 GMT -5 BD said:

So we all had similar senior moments and read it as "market making" lol

I totally did. And as always ktim, thanks for the accurate post especially if it helps dispel any myths.

[letitride]

Schwab has Mannkind with an ETB (Easy to borrow) designation guess they want them to go all in.

[agedhippie]

Oct 30, 2024 17:58:43 GMT -5 letitride said:

Schwab has Mannkind with an ETB (Easy to borrow) designation guess they want them to go all in.

That sort of designation, or a low cost to borrow, tells you that the short position is small. If there really was an 83% short position shares would definitely not be easy to borrow!

[peppy]

Oct 31, 2024 12:03:47 GMT -5 agedhippie said:

Oct 30, 2024 17:58:43 GMT -5 letitride said:

Schwab has Mannkind with an ETB (Easy to borrow) designation guess they want them to go all in.

That sort of designation, or a low cost to borrow, tells you that the short position is small. If there really was an 83% short position shares would definitely not be easy to borrow!

240 million shares/ 100 % = 40 million short shares/ x
16.666666%

[BD]

Oct 31, 2024 12:03:47 GMT -5 agedhippie said:

Oct 30, 2024 17:58:43 GMT -5 letitride said:

Schwab has Mannkind with an ETB (Easy to borrow) designation guess they want them to go all in.

That sort of designation, or a low cost to borrow, tells you that the short position is small. If there really was an 83% short position shares would definitely not be easy to borrow!

I think the 83% was supposed to be referring to the ratio of "buys" vs. "sells" or something within some time period (a day?), I don't think there's any point in taking it too seriously.