I'm trying to wrap my head around the recent events of NYSE:GME, that quote the short interest to be
140.3%. I have not been able to find any satisfactory explanation as to how this is possible or calculated. Especially since most sources simply state that:
Short interest is a measure of the number of shares that are currently being shorted compared to the number of tradable shares in the market (the float).
How can you short more shares than what is available?
I've since found some relevant info that relates to how large hedge funds can force stocks into pennies and eventually zero. It explains in more detail how the (shorted) stock borrowing scheme is working.
DISCLAIMER: I am not able to determine the veracity of this info.
Other Related Questions:
- How can GameStop be short 140% of float?
- question about short selling stocks
- What are the implications for GameStop as a company in the aftermath of the current share price surge?
- What is the actual reason the short sellers of GME can't just hold their positions until the price goes back to normal?
- Can a single share of stock be shorted multiple times?
- Can someone explain the GME short squeeze situation to a non-stock trader?