Sooooo sad :(((((
A member here on FR posted this:
The Hedge Funds are in trouble. Not just a little financial trouble, but a lot of legal trouble.
What triggered the buying of Gamestop was people on Reddit noticing that short sellers had sold 140% of the actual amount of Gamestop stock. The hedge funds not only sold stock they didn’t have (Naked Short Selling, which is illegal, at least when mere mortals do it), but 40% more than exists.
This is why many brokerage houses have halted retail investers ability to buy Gamestop
Much of the volume of Gamestop trading involves stocks which do not actually exist. The trades cannot be cleared. The trades cannot be settled by the clearing firms..
And once this becomes painfully obvious to the general public, too many uncomfortable questions are going to be asked.
What is Clearing?
Clearing is the procedure by which financial trades settle - that is, the correct and timely transfer of funds to the seller and securities to the buyer. Often with clearing, a specialized organization acts as intermediary and assumes the role of tacit buyer and seller in a transaction, to reconcile orders between transacting parties. Clearing is necessary for the matching of all buy and sell orders in the market. It provides smoother and more efficient markets as parties can make transfers to the clearing corporation rather than to each individual party with whom they transact
I don’t understand how this is happening when all shorts are legally required to be covered by owning the stock or having bought an option.
As someone aptly stated last night on FR, “Naked shorts are illegal.”
So, if Hedge Funds short companies that is okay. But, if Retail Investors jump in to catch the companies in their shorting, they are evil white supremicists?
Good.
Screw short sellers. Vile vultures, may they lose everything.
Does China short-sell?
Asking for a friend.
This whole episode shows that you have a better chance of winning at the dog races than bucking the big boys on Wall Street.
Perhaps someone more knowledgeable can explain this to me. The big boys expected/wanted GameStop‘s stock to go down, so they sold it short.
Wouldn’t it have been safer to just buy put options? I’m sure I’m missing something here.
Twitter has various whistleblowers saying white house called the apps and coordinated shitting down shorted buys.
Bed Bath and Beyond stopped carrying My Pillow. They deserved to get shorted.
Best news story of the month.
fiat currency...
fiat stocks....
what else?
Think of this as the Hedge Funds bringing the country back together after a period of deep division.
After all, Ted Cruz and AOC are in agreement now....
Never short more money than you can afford to lose.
It is just like any other form of gambling.
Disclose.tv
@disclosetv
JUST IN - #Robinhood app has reportedly begun to automatically sell shares of $GME for some customers, “for their own good.
quote:
Max Burns
@themaxburns
In case you aren’t following the Reddit/WallstreetBets/$GME stock market madness,
@RobinhoodApp
is now selling off many Redditors’ shares *whether they want to sell them or not.*
Gambling is mostly chance and luck. None of this happened by chance.
Remember Long-Term Capital Management? A few years ago they almost blew up the entire United States and thus the world economy.