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by BasedInfra 1936 days ago
You think big finance is shorting ETFs with a combined value in the trillions to put downward pressure on GME stock price?
1 comments

¯\_(ツ)_/¯ Something's up, that's all I know (along with level 2 data). $16.8 billion dollars lost so far and counting. That's real money.

https://i.imgur.com/Rz1kUp7.mp4

EDIT: https://twitter.com/deitaone/status/1364957363724288000 "Gamestop Short Sellers Estimated To Have Lost $818 Million On Their Bearish Bets on Wednesday - Ortex"

That is false. $16.8B is greater than Melvin's AUM at the start of the year. The person in that video doesn't substantiate their claim either.

As a more general aside: take everything said on Cramer's show with a grain of salt. He is a deeply unserious character in the financial space. His angle is to be provocative, not accurate.

Do you have a citation you can offer up with more solid loss numbers? It looks like Melvin alone has lost at least $4.5 billion dollars on the GME short trade, and Citadel/Point72 provided ~$2.75 billion in capital to Melvin.

https://www.reuters.com/article/us-retail-trading-melvin/mel...

That is the citation. The person in that clip is speculating about Melvin's losses in particular.
Came across a citation that aligns closer to the $16.8B number quoted on the video citation I provide further upthread.

https://www.cnbc.com/2021/01/29/gamestop-short-sellers-are-s...

> Short-selling hedge funds have suffered a mark-to-market loss of $19.75 billion year to date in the brick-and-mortar video game retailer GameStop, according to data from S3 Partners.

Doesn't attribute losses to specific firms, but the damage is spectacular.

> That is false. $16.8B is greater than Melvin's AUM

losses on options contracts arent limited to invested capital. AUM is irrelevant

Yeah I'm aware of that, but Melvin is not bankrupt.
oh i get it, i thought you were saying the losses werent possible because it exceed their available captial. youre actually saying the losses arent possible because theyd be out of business.

i withdraw.

Yeah in fairness I could have worded that more precisely, but that's the idea :)
Funny to see how upvoted that story is considering a few weeks ago the whole subreddit thought CNBC was "fake news" and in bed with wall st.
That whole subreddit is supposed to a joke, or at least it was.
not necessarily - typical failed spin cycle usually tries spin+fud at level 10, when that fails, retrench to level 9, acknowledging some points with their own new spin and fake surprise at 'learning something new', lather, rinse, repeat. Same thing when you call out a compulsive liar in real life. I have 0% doubt that many of the comments in these threads are calling exactly this out.

update: literally 1st pair of comments i read in WSB on this one is:

"Lol Cramer is such a great actor. “What?! Seriously?!” What a douche"

"Is he okay? He was looking off camera so frequently I thought maybe they are holding his wife hostage there or something.

Cramer, buddy, blink twice if we should call the cops."

Update: https://markets.businessinsider.com/news/stocks/gamestop-sho... (“GameStop short-sellers have lost $1.9 billion in just 2 days amid the stock's latest spike”)
you don't believe "Cable News Boomer Crybabys" do you? /s