Recent media attention to Reddit and GameStop have brought attention regarding short-selling to the forefront of the news. It seems that GameStop shares were manipulated to create an over-value, setting the stage for a high value sale. Investors initially borrow the stocks and sell them while the value is high. Later when the value drops the investor buys them again at the lower value, then returns the stocks to the loaning entity having pocketed the difference in the values.
Criminally minded investors can drive up stock prices artificially in order to fortify their intent to short-sell. It’s a risky game unless you are controlling it.
For the last four years the GOP has been artificially inflating Donald Trump’s value by looking the other way in the face of his immoral, illegal and foolishly embarrassing pronouncements. After losing his bid for a second term, and with accompanying losses in both houses of Congress, the many failed attempts to overturn election results including sixty-one failed court challenges, and parading his ‘personal attorney” Rudi Giuliani around to speaking events such as the one held at the Four Seasons Garden Center (next to a strip club and across from a cemetery), and the petulance of an undignified loser who refused to gracefully participate in the traditional transfer of democratic power by declining to attend the inauguration of Joe Biden, yes, all this and more, clearly Donald Trump has fallen in value.
So now, witness a savvy Kevin McCarthy traveling to Mara Lago to buy back Trump at the lower value and return him to GOP voters. Trump is being short sold and the GOP will pocket the difference they created by inflating his value, his 30% base of loyal Trumpers. Inevitably, as Trump’s value will sink deeper with criminal prosecutions, civil suits and impending financial crisis, Trump will be pulled off the market and the difference between his high and low values will be owned by the GOP.
If Machiavelli were alive, he’d either be a hedge fund manager or chair of the RNC.