Sep. 16 at 2:22 PM
$QUBT $IONQ $RGTI $QBTS I can feel it coming!!!
Yes. A climbing borrow rate can help cause or intensify a short squeeze, though it is rarely the only trigger.A rising stock-loan fee is a market signal that shares available to borrow are scarce (high utilization / hard-to-borrow). That scarcity does two things:It raises the daily cost of staying short (negative carry). At high rates (often 50–200%+ annualized), the fee itself becomes a reason for some shorts to cover simply to stop the bleed.
Those covering purchases add buying pressure. If short interest is already high and there is any upward price move, margin calls, or a catalyst, the covering can cascade into a classic short squeeze. Sources consistently treat expensive or rapidly rising borrow rates as a confirmation layer that makes a stock more squeeze-prone
$QQQ
