Short sellers are targeting ASX tech stocks on ‘distorted’ prices

Short sellers are ramping up their bets against technology stocks on the ASX amid toppy valuations and lingering inflation concerns in Australia that have left the possibility of interest rate increases on the table.

While technology companies are typically more sensitive to higher borrowing costs, Plato Asset Management’s David Allen said the main driver behind the growing short interest was the limited number of growth companies listed on the ASX.

Source: https://www.afr.com/markets/equity-markets/short-sellers-are-targeting-asx-tech-stocks-on-distorted-prices-20260114-p5ntvc