Hedge funds had previously amassed short positions
in Brent and WTI totalling 374 million barrels, the third-largest short position
on record and only 19 million barrels below the maximum short position
On Tuesday, December 18, the monetary authority published a circular amending the reserve requirement, funds that banks are required to leave deposited in the Central Bank, in the short position
According to the new rule, which will be effective starting August 30, an investor who has an open short position
that amounts to, or exceeds, 0.
The taxpayer believes that the stock price will drop in the near future and that the short position
can be covered with less expensive shares.
Oppenheimer began shorting the stock last year and accumulated a short position
of more than 500,000 shares.
The Fund will have additional costs associated with covering short positions
and a possibility of unlimited loss if the Fund must cover a short position
when the value of a stock sold short increases.
In gasoline futures and options, hedge fund managers have actually established a net short position
of 5 million barrels.
8 million shares totaled in mid-August, ``it's still a monstrous short position
,'' said Michael Long, Rockbridge's president.
Company management today commented after a diligent review of the NOBO list (notice of beneficial ownership) dated October 13, 2006: "We feel there is a significant short position
in the common tradable shares, which may be influenced by a position held overseas.
Money managers had never held a short position
that large before, except for a brief period in March, when US crude stockpiles were rising fast and there were fears storage space would run out.
The company is currently reviewing the NOBO list with the intent of identifying the obvious short position
as is now confirmed by the publication on the NASDAQ Short List.
Cal-Bay's management believes there is a significant short position
in the freely tradable stock and the side by side comparison of the NOBO and DTC list should disclose any discrepancy.