How is short interest determined? Reuters reported that there were some changes in short interest of some sto

Question

cks. Does this include thing like puts and sales and margin buying? So as the stock is bought on the way down it's slide?

Answer 1

If you sell a stock short, you have a short position until you buy stock to cover it and close out the position. The "short interest" is the total number of shares in these open short positions, as reported by brokers to the exchanges. It does not have anything to do with puts or margin buying, although you need to be approved by your broker for a margin account in order to sell short through that broker.