Nasdaq Short Interest Update: Mid-December 2024

As the year 2024 draws to a close, Nasdaq has released its mid-month open short interest positions in Nasdaq stocks as of the settlement date of December 13, 2024. This report provides valuable insights into the sentiment of investors and the overall health of the market. Let's delve into the key findings and their implications for investors.

The report reveals a notable increase in short interest across both Nasdaq Global MarketSM and Nasdaq Capital MarketSM securities. The Global MarketSM securities saw a 0.67% increase in short interest, totaling 11,912,589,852 shares, while the Nasdaq Capital MarketSM securities experienced a 6.17% rise, reaching 2,179,343,976 shares. This trend suggests that investors are becoming more bearish on these stocks, indicating potential opportunities for short sellers.

However, it is essential to consider the average daily volume (ADV) when evaluating short interest positions. The ADV for Nasdaq Global Market securities increased from 2.36 days to 2.65 days, indicating a rise in trading activity. Meanwhile, the ADV for Nasdaq Capital Market securities remained constant at 1.00 day. This suggests that while short interest has increased, the overall trading activity has not significantly changed.

The Days to Cover statistic, which represents the number of days it would take to close out all short positions if no new shares were sold short, has evolved for the most shorted stocks between the two reporting periods. In the mid-December report, the average Days to Cover for the 12 most shorted stocks was 2.65 days, compared to 2.36 days in the prior reporting period. This indicates a slight increase in short interest, suggesting that short sellers are more bearish on these stocks. However, it's essential to consider other factors, such as fundamentals and market conditions, when making investment decisions.



In conclusion, the mid-December 2024 Nasdaq short interest report highlights a trend of increased short interest across both Nasdaq Global Market and Nasdaq Capital Market securities. While this may indicate potential opportunities for short sellers, investors should also consider the average daily volume and other factors when evaluating the market sentiment. As always, it is crucial to conduct thorough research and stay informed about the latest market trends to make well-informed investment decisions.