Ruh-Roh

[AllentownJake]

Original post: There are headlines coming out of Germany that the government may institute a short-selling ban.

Earlier, ZeroHedge cited a Reuters article saying that a short-selling ban would apply to stocks and bonds.

But according to ForexLive, the report indicates that it's a naked short-selling ban.

There's also chatter that Merkel may push for a transaction tax at the G20 meeting.

We have no idea what's actually going to happen, but things have deteriorated in the last several minutes.

The Dow is off 57.

The euro may soon slide below $1.23.



Read more: http://www.businessinsider.com/selling-in-stocks-and-euro-intensifies-as-rumors-of-german-government-short-selling-ban-spreads-2010-5#ixzz0oJ1wWXuQ

The market calls all bets, banning short selling is almost a sure way to cause real selling. In any event government intervention into the short arena means that the government is worried about something.