Influencers Are Luring Investors Flummoxed by Meme Stonks and Options
Misyrlena Egkolfopoulou and Donald Moore, 18 June 2021
The U.S. was already doing a poor job of teaching people how to manage their money. Then meme stonks came along.
Now with everyone desperate for financial advice, a deluge of new companies and their influencer leaders are all at your service, fighting to be the first place you turn to chat about stocks, budgets or finances — at times, for a fee.. Continue reading “Article: Influencers Are Luring Investors Flummoxed by Meme Stonks and Options”
You’ve got to hand it to r/WallStreetBets: They’ve gotten very robust in their stock selection process as compared to the GameStop (NYSE:GME) era. The message board, which has grown significantly in the first half of the year, is picking mortgage REITs and private prisons as some of the latest meme stocks. It should not be a surprise then that the retail investor group is looking to follow whales to new frontiers, like they are doing today with Itaú Unibanco Holdings (NYSE:ITUB) stock. 
Staring at a meme stock craze that shows few signs of abating, Wall Street is still wrestling with how to trade it.
Let the Apes Have Wall Street
vThe Covid-19 crisis came at the end of more than two decades that witnessed a significant transformation of financial markets with main catalysts such as financial innovation, technology adoption, and financial regulations. The 2020 stock market’s roller coaster (record price levels and volatility) exposed the financial system’s fragility. This year, the increased volatility in so-called ‘meme’ stocks – i.e., stocks whose trading volume increases not because of the company’s good performance, but because of hype on social media –, has highlighted several problems in financial markets. Although seemingly unimportant, the risk that these events could pose to the entire financial system opens the door for discussions on the implementation of new regulations (or the improvement of older ones). 
NEW YORK (Reuters) – Wall Street ended a see-saw session lower on Wednesday as market participants awaited inflation data for clues as to when the U.S. Federal Reserve might tighten its dovish monetary policy.
AMC Entertainment, the meme stock that amazed Wall Street recently, rallied double digits on Monday as speculative trading activity in the struggling movie theater gained steam.
(Reuters) -Shares of AMC Entertainment Holdings Inc and other “meme stocks” jumped on Monday, extending a rally in social-media favorites into a third week as message boards hummed with talk of squeezing Wall Street short-sellers.
Securities and Exchange Commission Chairman Gary Gensler said Monday that his agency is focused on adopting new rules to guard against company executives using private information to opportunistically sell shares of companies they oversee, while acknowledging that the SEC must come up with new strategies to guard against market manipulation on social media.