The Most Heavily Shorted Sectors In The Stock Market

The most bearish investors don’t just avoid stocks.  They short stocks.

Short sellers often like to gang up on particular stocks for various reasons.  Maybe fundamentals aren’t looking good.  Maybe the stock has just gone up by too much.

Popular targets of short-sellers include Green Mountain Coffee and Netflix.

But what are the most heavily shorted sectors in the stock market?

JP Morgan’s Global Asset Allocation team answers that question in their latest Flows & Liquidity report.

Here’s their chart.  As you can see, short interest has actually been increasing in recent weeks.

Shorts JPM 1

Photo: JP Morgan

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