They had massive dilution. First they sold that news, then later, people said, "no, that's good because they needed the money"...so massive short squeeze, now today the dump. Great short this morning over $6. That stock hadn't been @ $5 since the crash in 08. Mortgage insurers were the worst hit group. PMI & ABK already went bankrupt. Paulson had a huge investment in PMI & got slaughtered. MTG managed to survive, along with RDN & MBI. MTG was a $70 stock before the crash. It went down to a dollar, and has been @ $2 for years.....that's why when it went over $5, it was finally an opportunity to short it. Most thought they wouldn't survive, but they have managed to so far. MBI, I just had bad luck. Right after I shorted it, news came of a court decision in their favor blocking BAC from damages in a suit they had against them, hence the rise. That is being appealed, and will be tied up in court for a long time, so have been expecting it to fall back, but so far it hasn't. Looks like some hedge fund is pushing it up to force a squeeze. I'm guessing this just from the action, because it should be falling. Hedge funds can take a stock like that with high short position & manipulate it up, then dump it. They almost squeezed me out earlier, but didn't hit my stop, so is dropping a bit now.