Shorts on in the U.K.

End to the U.K. short-selling ban triggers new speculation.

January’s end to the U.K. prohibition on the short-selling of 34 financial stocks only triggered new speculation — about the effectiveness of the ban.

“It interfered with the workings of the market by limiting price discovery, reducing liquidity and potentially creating an artificial market,” argues Andrew Baker, CEO of the Alternative Investment Management Association in London.

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