Posted on 01/28/2021 8:54:41 AM PST by SeekAndFind
A subreddit, r/WallStreetBets, has caused mass hysteria in the financial markets as many hedge funds and Wall Street elites have lost billions as a result of their GameStop play. Was what they did “market manipulation?” Absolutely. Is that inherently wrong or even illegal. Absolutely not.
Briefly, members of the subreddit noticed that most of the active shares for GameStop were in a short position, meaning hedge funds were betting that the stock price would drop dramatically, making them a lot of money. So, the Redditors put out the word to buy Gamestop stocks and drive the price up. It worked. One can argue it worked better than any other price pumping play in history that wasn’t attached to actual news about a company.
Politicians, trading companies, and Wall Street analysts have called for a moratorium on trades of the stocks until market volatility subsides. In other words, they’re trying to buy time for those who have shorted and even continue to short the stock to get their ducks in order to mitigate damage. It’s a play that works against the little guy in favor of the big guys.
JD talked about this in-depth on his latest episode of Conservative News Briefs (in its triumphant return after months of being offline). For those who want a shorter breakdown, here’s a brief explainer video from Anything Goes (explicit language):
They’re working against the short squeeze to protect assets, oftentimes their own. THIS is the only thing that’s bad about all of this. Is shorting stocks bad? No. It’s part of the gamble, and anyone who says the stock market isn’t legalized gambling is delusional. Is pumping the stock the way the subreddit did bad? No. Again, it’s all a gamble.
Hedge fund managers are claiming they don’t like volatility. The truth is they don’t like volatility they don’t control. This action by the masses driven by the “little guys” isn’t in the hedge fund managers’ playbook, which is why they’re trying to quash it.
This is how you win.
Sneaky and nasty—they said “no rules”, now they get “no rules”.
It was a flash mob.
Akin to teens ransacking a shopping mall.
these guys are holding firm...they will not sell...now its going global, LTFO...
The lesson to be learned here is that when you make something easy for any nitwit with an IQ of 70 to do, you often have no control over the results.
I hope everyone in America sees the lesson here.
Good for the GameStop deplorables.
Yeah, the reddit action was mostly peaceful, and most of the hedge fund guys harmed are wealthy white males. I don’t see how the government can [without hypocrisy] do anything about it.
Chaos in the equity markets isnt a good thing for anyone..
What will be the outcome. They will require a licence to buy or sell stocks online, which of course would be subject to revocation if you support the wrong political candidate, or say something wrong on Social Media.
But these hedge funds are big Rat donors. That makes a difference. Not all animals are equal, ya’ know.
Easier to curb the use of naked shorts. Something that may have needed to be donw long ago.
It’s all fun and games until someone loses their savings. Of course lockdowns and business closings do the same thing.
They are moving on to Gold and Silver ETFs. We may yet see the real price of Gold and Silver, not the current manipulated prices.
See AG this morning for instance.
I was about to comment that a lot of hedge fund managers are lefties. As such, I’m not going to shed a lot of tears for them if they get burned by something like this.
These hedge funders manipulate the market all the time.
Sneaky leaks to the press to drive prices up or down.
Now Robinhood is manipulating trading by not allowing to buy GME.They get a lot of money from the hedges.
Disclose.tv 🚨
@disclosetv
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JUST IN - Class action complaint filed in the southern district of New York against
@RobinhoodApp
(via Fox
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Naked shorting has been illegal since 2008. Maybe the SEC needs to concentrate their efforts on investigating the hedge funds' practices of naked shorting illegally than focusing on the subReddit.
Apparently these “Hedge Funds” forgot to hedge their bets.
None of this was rocket science. GameStop was simply the pick of the group and it’s a demonstration of how you can take down the hedge fund idiots.
I’ll make this prediction...this will not be the last demonstration of this tactic for 2021.
Biden’s gonna protect his big money donors.
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