ASIC has announced it would keep the ban on covered short selling of financial securities in place until 31 May 2009 but will keep this position under review.

Covered short selling of financial securities will continue to be banned.

Covered short selling of non-financial securities remains unaffected and will still be permitted.

The daily reporting of gross short sales will continue as will the publication to the market of aggregate short sales the day after trading.

ASIC will continue to requires strict compliance with the ban on naked short selling as outlined in RG196.