Short selling

Establishing a market position by selling a security one does not own in anticipation of the price of that security falling. The New York Times Financial Glossary

* * *

* * *

   The selling of instruments that are not held in anticipation of a fall in prices. The action of buying back to cover the short position is known in the market as shortcovering.
   ► See also Shortcovering.

* * *

short selling UK US (also short-selling) noun [U] (also shorting) STOCK MARKET
the activity of selling shares that you have borrowed, hoping that their price will fall before you buy them back and return them to their owner, so that you make a profit: »

This stock is a likely target for short selling.

»

Shorting is one of the main methods of cashing in during a stock market collapse.


Financial and business terms. 2012.

Look at other dictionaries:

  • short selling — The practice of selling securities not owned by the seller in the hope that the price subsequently falls and they can then be bought back at a lower price. The seller may have borrowed the necessary securities on a temporary basis in order to… …   Law dictionary

  • short-selling — UK [ˌʃɔː(r)tˈselɪŋ] / US [ˌʃɔrtˈselɪŋ] or shorting UK / US noun [uncountable] economics the practice of selling borrowed securities and then buying them again at a lower price Derived word: short sell verb intransitive/transitive …   English dictionary

  • short selling — Establishing a market position by selling a security one does not own in anticipation of the price of that security falling. Bloomberg Financial Dictionary * * * short selling short selling ➔ selling * * *    The selling of instruments that are… …   Financial and business terms

  • Short-Selling — Unter Leerverkauf (auch: Blankoverkauf, Short Sale) versteht man den Verkauf einer Ware, eines Währungsbetrages oder eines Wertpapiers, das der Verkäufer zum Verkaufszeitpunkt noch nicht besitzt. Der Verkäufer profitiert von dem Leerverkauf, wenn …   Deutsch Wikipedia

  • Short Selling — Unter Leerverkauf (auch: Blankoverkauf, Short Sale) versteht man den Verkauf einer Ware, eines Währungsbetrages oder eines Wertpapiers, das der Verkäufer zum Verkaufszeitpunkt noch nicht besitzt. Der Verkäufer profitiert von dem Leerverkauf, wenn …   Deutsch Wikipedia

  • short selling — noun sale of securities or commodity futures not owned by the seller (who hopes to buy them back later at a lower price) • Syn: ↑short sale • Hypernyms: ↑trading * * * noun Etymology: short (I) + selling (a …   Useful english dictionary

  • Short Selling — The selling of a security that the seller does not own, or any sale that is completed by the delivery of a security borrowed by the seller. Short sellers assume that they will be able to buy the stock at a lower amount than the price at which… …   Investment dictionary

  • short selling — Selling commodities, securities, currencies, etc. , that one does not have. A short seller expects prices to fall so that the short sale can be covered at a profit before the goods have to be delivered. A short seller is a bear …   Big dictionary of business and management

  • short selling — /ʃɔt ˈsɛlɪŋ/ (say shawt seling) noun Stock Exchange the selling of a borrowed security with the obligation to purchase it back and return it at a later date, the borrower in the meantime hoping to gain on the transaction by selling it at a high… …   Australian English dictionary

  • short selling — noun The practice of selling items or stock which one does not currently possess …   Wiktionary

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.