It operates 5,509 retail stores throughout the US, Canada, Australia, New Zealand and Europe and trades as NYSE:GMO in the S&P 600 index. However this accolade holds significantly less weight than it did in the 1990’s and the company had a bleak outlook with the coronavirus pandemic forcing them to close stores increased competition and consumers increasingly using online stores to purchase the latest games. The 37-year-old retailer is actually the largest physical video game retailer in the US, hardly a classic underdog. So what made the members of subreddit WallStreetBets choose to toy with GameStop in particular? Alexandria Ocasio-Cortez JanuWhy was GameStop picked for the play? In the meantime if you want to help, you can resign. Happy to work w/ almost any other GOP that aren’t trying to get me killed. I am happy to work with Republicans on this issue where there’s common ground, but you almost had me murdered 3 weeks ago so you can sit this one out. " Let the people trade," the company stated. Robinhood's ethos, as expressed in a tweet from 2016 has been brought into question. The move sparked allegations that the hedge funds had wielded influence over Robinhood and other trading platforms to stop the upward rally. But Reddit traders who were smart enough to get out while the going was good – at the peak a share in GameStock was over 100 times August’s value – will have made a life-changing amount of money. Of course following the restrictions, the game was over and GameStop stocks plummeted. When stock volatility is high, it drives up how much capital they need. The brokers claimed they had to do this to reduce their risk they are required by the Securities and Exchange Commission to have enough cash on hand to cover a certain percentage of trades on their platform. They restricted trading of GameStop as well as a handful of other stocks on their platforms. Several brokers, took matters into their own hands, including Robinhood, Ameritrade and Charles Schwab. In essence this democratised the whole system. Gamestonk!! - Elon Musk JanuRobinhood and other brokers restrict trading in GameStopĪmateur traders on the stock market like the now-famous Reddit traders, are enabled by commission-free trading apps, making it possible for "normal people" to buy and sell stocks as they please. Musk has taken personally against short selling as a practice in the past. Tuesday night following market closure Tesla CEO and richest man in the world Elon Musk tweeted out Tuesday evening to his 43.1 million followers one simple word: “ Gamestonk!!” which was enough to further rally the Reddit trolls and boosted share prices yet again. It was worth $100-ish at times on Monday and Tuesday and at its peak on Wednesday reached over $450. GameStop’s stock price jumped from $4 last summer to $20 at the end of 2020, to $40 two weeks ago. The amateur traders, whose subreddit bio is “ Like 4chan found a Bloomberg Terminal” and led by user “DeepFuckingValue” organised themselves to gradually buy up shares in the retailer, forcing the price of GameStop’s stock into the heavens, simultaneously making a lot of money for themselves and crushing the strategy of the colossal hedge funds who’d bet against it. Quite literally against all odds - in what became a micro class war - a group of keyboard warriors decided to bet big against gigantic financial institutions and temporarily change the fortune of a video game retailer on the downturn called GameStop. It all started with a subreddit called WallStreetBets on the chat site Reddit.
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