The European Securities and Markets Authority has published its Opinion on the emergency measure proposed by the Spanish CNMV under the Short Selling Regulation.

ESMA is adopting the following opinion on the notified measure, on the basis of Article 27(2) of Regulation 236/2012 on Short selling and certain aspects of credit default swaps:

On the adverse events or developments
ESMA considers that there are adverse developments which constitute a serious threat to financial stability and to market confidence in Spain.

On the appropriateness and proportionality of the measure
ESMA considers that the measure is appropriate and proportionate to address the above-mentioned threats that persist in Spain.

On the duration of the measure
ESMA considers that the duration of the measure is justified and appreciates the CNMV’s statement in its notification of intent whereby the measure may be lifted during the period of enforcement of the measure, if considered necessary.