Repsol's Short Base Declines in Wake of Anadarko's Find

Repsol YPF is a direct beneficiary of Anadarko's (APC) recent oil discovery off the coast of Sierra Leone. The short interest (as measured by Percent Shares Outstanding On Loan) for Repsol Ypf Sa (REP) has decreased 27.79% over the past week and now stands at 2.34%. This is down 84.5% from the 52 week high hit on July 13, 2009. Even though the short interest has decreased over the past week, when compared to other Europe Oil Gas & Consumable Fuels companies, the short base is well above the average of 1.83% for the sector.

Over the past week the Negative Sentiment Indicator (DNS) for REP saw a small increase to the sixth decile. The DNS for the security is now neutral indicating an increasing amount of negative short sale sentiment. The Price Squeeze Indicator (DIPS) remained unchanged and continues to be in the first decile which indicates a low probability of a price squeeze.