Wires

Nasdaq short interest down 2.7 pct in late September

NEW YORK, Oct 9 (Reuters) - Short interest on the Nasdaqfell 2.7 percent in late September, the exchange said onTuesday, suggesting a decline in bearish sentiment in the stockmarket.

As of Sept. 28, short interest slipped to about 7.401billion shares, compared with 7.607 billion shares as of Sept.14.

Investors who sell securities 'short' borrow shares and thensell them, expecting the stock to fall so they can buy theshares back at the lower price, return them to the lender andpocket the difference.

(Reporting By Caroline Valetkevitch)

((caroline.valetkevitch@thomsonreuters.com;

+1-646-223-6393)(Reuters Messaging:caroline.valetkevitch@thomsonreuters@reuters.net))

Keywords: MARKETS SHORTINTEREST/NASDAQ