Breaking news - Feb 18th

Table of Contents

Today is the hearing of GameStop and Robinhood

  • The House Financial Services Committee will set principal actors in the GameStop rally we saw last month following Robinhood and other broker’s decision to restrict trading.
  • Robinhood, Citadel Securities, hedge fund Melvin Capital, social media platform Reddit, and Keith Gill an individual investor who made bank from purchasing GameStop will testify before the U.S. House Financial Services Committee at 12 p.m. ET.
  • Lawmakers will get the chance to focus on “short selling, what triggered Robinhood and others to restrict trading, impact on the markets and retail investors”.
  • Roaring Kitty famous Reddit star, real name Keith Gill, will also make an appearance since he is credited with helping the GameStop saga though his actions are being probed by Massachusetts regulators since he was a registered securities broker.
  • What to expect: The hearing will cause a lot of noise but not any consequences. While there could be some SEC regulations down the road, that won’t be coming from the House Financial Services Committee. If the SEC were to act, it could pursue a series of rules, ranging from short interest caps to taxing short-term bets, according to BofA analyst Michael Carrier.