GM and M Stanley share falls blamed on return of short selling

FT 08/Oct/10

Shares in Morgan Stanley were 16% lower at 14.09 at midday in New York, while GM shares had lost 15% of their value shortly before noon, falling to 5.87$, their lowest level since the early 1950s.

Morgan Stanley insiders said they expected short sellers to target its shares yesterday but added that the sharp fall would not attect the bank's deal to sell a 21% stake to MUFJ group for $9billion.