US, Canadian Equity Shorts Hit Record $2.39 Trillion as AI Rally Doubts Deepen
Updated
Updated · CNN · Jul 21
US, Canadian Equity Shorts Hit Record $2.39 Trillion as AI Rally Doubts Deepen
3 articles · Updated · CNN · Jul 21
Summary
$2.39 trillion in short positions was outstanding across US and Canadian equities in June, up 4% from May and the highest in S3 Partners data back to 2010.
$98 billion of new shares shorted drove the increase, with S3 saying the buildup was broad across sectors as investors sought protection against a potential pullback.
3.2% of market capitalization is now shorted for the median S&P 500 stock—the highest since the 2008 financial crisis—signaling wider skepticism toward stretched valuations.
SpaceX has become a focal point after losing $1 trillion in market value since its debut last month, with more than 30% of its public float sold short.
Nearly 20% has been wiped off the iShares Semiconductor index since its early-June peak, underscoring how doubts about AI spending returns are feeding the revival in bearish bets.