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clipped from online.wsj.com

SEC Curbs Shorting of GSE Stocks, Considers Limits for Wider Market

By Kara Scannell
Word Count: 348 |  Companies Featured in This Article: Fannie Mae, Freddie Mac, Lehman Brothers, Goldman Sachs, Merrill Lynch, Morgan Stanley

WASHINGTON--The Securities and Exchange Commission announced an emergency action aimed at reducing short-selling that targets Wall Street brokerage firms as well as Fannie Mae and Freddie Mac, and will immediately begin considering new rules to extend new requirements to the rest of the market.

SEC Chairman Christopher Cox said the SEC would institute an emergency order requiring any traders to pre-borrow stock before shorting Fannie Mae and Freddie Mac, the ...

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