Can short term memory loss be caused by traumatic experiences, stress grief. Is losing your memory permament or as depression lifts it will return?

It should return. Unless there is a physical (vascular) problem, your memory should return and you can help this process by what you do. Seeking supportive psychotherapy and/or practicing something like mindful meditation may be useful. Even books, music or film and conversation with pleasant companions can re-ignite short-term memory - so can active spiritual exercises. Do try to have faith as you heal.
Depends. Yes, stress and depression can affect your memory. Chronic anxiety can lead to stress hormones that will affect regions of your brain needed for memory consolidation. Poor sleep secondary from stresses will definitely affect your memory (so many people do not understand the value of a good night sleep). Talk it over with a behavioral health specialist. There is hope for you.
Yes trauma does this. Trauma releases chemicals that are deleterious to your memory cells. Some of those memory cells unfortunately die off. Part of the action of antidepressants is to stimulate brain derived neurotrophic factor, which helps those brain cells regrow so that your memory becomes sharper again. Best wishes.:).

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Could depression/stress cause short term memory loss?

Yes. One of the more common issues with poor memory performance is depression and/or stress. Disinterest and in attention along with easy distractability make one appear to have memory loss. Read more...