Why so many IB stocks unshortable today?

H

HotTip

I noticed this actually after the close yesterday and thought it was just a system issue, but it seems to have carried over to today. Can anyone explain why this is the case? You can't tell me that IB all of a sudden ran out of inventory for literally hundreds of equities.
 
yes. i notice this as well. typical number is 8.5K products for short, but today before open there is 5K only. when placing the orders i notice that pretty much every other stock is not shortable
 
Quote from makloda:

I see many small and micro caps non-shortable at IB. All the 100 or so big caps that I follow are shortable.
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Most of my stocks are over 1B market cap and many where unavail.
 
yes, i saw that too. it was mainly smaller ones, but also some large ones which shouldn't have been unshortable.

some came back in line, slowly.
 
daytrading and swing trading small caps is a waste of time.

you can more money selling shoes.

the market maker for these stocks is a computer.

Quote from HotTip:

I noticed this actually after the close yesterday and thought it was just a system issue, but it seems to have carried over to today. Can anyone explain why this is the case? You can't tell me that IB all of a sudden ran out of inventory for literally hundreds of equities.
More...
 
I think lack of supply for borrowing to short is getting limited everywhere, not just at IB. My guess is (non conspiracy theorist) is that the loaners (owners) of the stocks are actually selling or getting ready to sell their shares, and therefore the shares must be returned to the borrowers so that they can sell. Just a hunch but makes sense give the SPX has touched uppers 900s from upper 600s.
 
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