Part 7/8:
The broader picture reveals increasing challenges in liquidity within the market itself. Recent trends, particularly regarding funding programs and reverses repo activities, indicate tightening liquidity conditions. Institutions previously reported to be in a robust position, such as Citadel, are now scrambling for funds to meet their obligations.
With a bleak market outlook, characterized by diminished repo volumes and increasing margin pressures among firms, it appears short sellers may not be doing as well as they project. This represents a critical juncture where transparency regarding short selling and tactical plays in dark pools becomes increasingly vital for retail investors.