Amateur traders are on the hunt for further opportunities to bulldoze over funds betting against their favoured stocks, ranging from the medical insurer Clover Health to the former smartphone maker BlackBerry. In part this is because funds have reeled in their negative bets, as the US economic reopening and persistent monetary stimulus from the Federal Reserve continue to fuel a broad market rally. Dramatic scenes earlier this year, when amateur traders organised on online forums to crush the shorts of the hedge fund Melvin Capital by pumping up stock in the video game retailer GameStop, have also left many funds hesitant to pour into some of the most obvious targets.
