GameStop mania explained: How the Reddit retail trading crowd ran over Wall Street pros


This game Stop. It might be a really scary trend. And people might lose a lot of money here, huh? Here's what it is. It's much more complicated in this. But right now, basically what games stop shared the trading on Wall Street and some other stocks to has nothing to do with the companies. It is a war. It's a war between Main Street retail investors against Wall Street fat cat hedge funds and through things like Read it. Now enough, retail investors have been able to gather together and create a force that they could put the screws to these hedge funds, which have been shorting stocks. And make the fat cats pay. That's really what it's about These red it, folks. It had a bit more complicated Start which I won't but what it is right now. And a O. C by the way, and Elizabeth Warren are now backing them, along with the long bus, which is just makes my mind go nuts. They're basically saying, you fat cat Hedge funds on Wall Street have made so much money with your back room meetings where you're gonna short cos I won't explain how that all works. But basically you're betting on companies to fail so that you could make money. We're going to get together and we're gonna buy, buy buy, And as the share price goes up, you lose. Potentially billions of dollars. Huh? Huh? Huh? But he's not. I mean, not shorting but didn't like Romney do something like that, where him and his company would take over companies and they would borrow or spend off of their credit and then bankrupt the company, the company I don't know if Romney did it, but certainly that has been in the past What these hedge funds have done, and this is perfectly legal. They take a short position they without explaining how you're short a stock. They're basically betting that a company is not going to go well do well and that a stock price world will fall. But Elon Musk has been doing battle with the short sellers on Tesla for years, and by the way, they have lost their shirts. Yeah, He's the test list. Stocks insane, and he's been taunting them all the way up. And so now these these, it's like one of our anchors described it as occupy Wall Street. Not with money. Well, that's interesting. But Jane, don't the people that bought you know all the people on Reddit and all the you know the day traders. They don't have a ton of money. Maybe they have, like, you know, 10 $15,000 in the market, whatever. And they bought a lot of you know these stocks that are being shorted like Gamestop Gamestop today, don't they have A real You know, horrible chance of losing money because that stock is gonna go down. Yes. So look, Um, but that's all of them. It's free market. You have smart people who are getting in and out of her mouth. Paula, Half a Tia, who wants to run for governor of California was one of these who jumped in and said, Yeah, he's a Silicon Valley guy was part of the Gavin news on buying. I'm buying Well, then he comes on our air today and says, You have already got rid of my position. So he made a killing. But this, you know somebody who's maybe not sophisticated and that's all right. You know, It's your right. If you want to go out and lose your money you're now you bought it at you know, 3 50 or whatever, By the way, game stop is now after hours down 2 to 92. So it's given starting to the sell off is beginning whether you know people buy on the dips. Tomorrow it goes back up. We don't know. Same with AMC Entertainment, the theater industry Here's a funny thing, Tim. These people are trying to stick it to the man by by making these guys who are short squeezing them so that they lose so much money. They gotta cover their shorts. They gotta buy stock. All this craziness driving the stock price higher. Who's really benefiting from this? The man's man be really, really rich people who say they're not short of this doctor. Here's a perfect example. Tootsie Roll. Role has become one of these Reddit chat room. Let's buy it took to roll cause these hedge funds have a short position on it, you know, is benefiting the 88 year old matriarch, this woman Who is like what? The stock's done nothing for 20 years, and now it's up 50%. I'm worth $200 million more than I was a week ago. She's benefiting not your job blow on Main Street, right? But there was again. Jane Wells is with us. There was a there was a guy in Florida. Alone $72 million where the game stop. And you know this morning or yesterday when he woke up. He was worth $72 million, and today's were $3.5 billion Man, I sure hope he

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