Latest – How Electronic Companies Manipulated the Stock Market


GameStop Corp. (GME) is an American video game, consumer electronics, and gaming merchandise retailer. The company is headquartered in Grapevine, Texas, United States, and is the world’s largest video game retailer, operating 5,509 retail stores throughout the United States, Canada, Australia, New Zealand, and Europe as of February 1, 2020. 

In January 2021, a short squeeze resulted in a 1,500 percent increase in GameStop’s share price over the course of two weeks, reaching an all-time intraday high of US$483.00 as of January 29, 2021, on the New York Stock Exchange. This effect was mainly attributed to a coordinated effort by the Reddit community r/wallstreetbets, a subreddit dedicated to high-risk stock bets akin to gambling. A jump in after-hours trading was triggered after Elon Musk made a tweet that included “Gamestonk!

House Committee Hearing

Llast week,the House Financial Services Committee hosted a live hearing on what occurred in late January when Robbin Hood halted all buying of GME stock, known to be a huge impact of the sudden stock price drop from well over $300 — back down again to the mid-$40s. Robinhood’s chief executive defended the app’s decision to halt trading in GameStop shares at the congressional hearing, calling allegations that the company acted to help hedge funds that were hemorrhaging money “absolutely false”. The comments triggered accusations the company is creating a “smokescreen” to deflect blame.

Speakers included: Keith Gill,  Kenneth C. Griffin, Chief Executive Officer, Citadel LLC, Steve Huffman, Chief Executive Officer, Co-Founder, Reddit, Gabriel Plotkin, Chief Executive Officer, Melvin Capital Management LP, Vlad Tenev, Chief Executive Officer, Robinhood Markets, Inc., Jennifer Schulp, Director of Financial Regulation Studies, Cato Institute.

GME on the rise again?

Gamestop appeared to be fading into the background after last weeks Capitol Hill testimony. However, there was news from the testimony of Keith Gill, aka Roaring Kitty, aka DeepF********Value on /wallstreetbets, that has the retail community ready to go to war again in Gamestop. Gill said of Gamestop during testimony to Capitol Hill lawmakers, “I do find that it’s an attractive investment at this price point”. Gill also appeared to have bought another 50,000 shares of GME as he shared a screenshot on /wallstreetbets resulting in shares in Gamestop rising 11% to $44.89 during Monday’s pre-market session. He now owns 100,000 shares of the company worth more than $4 million. He also owns 500 call options worth approximately $1.5 million. Is this the the start of the rise again?


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