personally i have never shorted stocks and doubt i ever will. however what's the difference? if you buy a stock betting that will go up or betting that it will go down? when a stock is overvalued the fools that pushed it so high deserve to lose their money. if a stock is undervalued and the shorts lose so what they desreve to lose their money. bottom line is do your research and take your chances as it is all gambling.
you should not be able to play all these financial games. Make the system simple if you like a company than buy the stock and if you don't like a company then don' buy the stock or sell the stock if you own it. In addition you should not be able to buy stocks on margin , if you have cash buy if you don't , get the money first then buy simple and we would not be in the mess we find ourselves in!!!!
"I actually meant the credit default swaps"
Yeah, that's what I figured you meant.
All that should have been ON THE BALANCE SHEET along with all the MBS and other crap now being referred to as "toxic securities". Then investors would actually stand a chance at valuing a company's business.
"Naked short selling, naking put buying should be banned."
Naked short selling is already banned (though perhaps you are mistaken as to the definition of naked short selling). That ban should be enforced.
Now let's ask this: should you, as an owner of INTC stock, be allowed to lend your shares to someone?
Also, are you also proposing that futures contracts be banned?
I assume you're referring to puts/calls (I actually meant the credit default swaps used as part of the raiding on the financials).
But I have no problem with puts/calls as long as they are COVERED as appropriate (cash or stock).
Naked short selling, naking put buying should be banned.