26 Burst results for "melvin capital"

Robinhood-GameStop hearing will scrutinize how brokerages get paid for trades

Wall Street Breakfast

01:19 min | 5 months ago

Robinhood-GameStop hearing will scrutinize how brokerages get paid for trades

"Game stop hearing on capitol hill stock market versus casino and news from down under leading. Today's news grab the popcorn. Robin hoods vlad. Tentative melvin capitals. Gay plotkin rutted steve. Huffman and citadels kenneth griffin and keith. Gill are also to testify. Before the house financial services committee at twelve pm eastern lawmakers will get their chance to grill the executives and hearing focused on short selling online trading platforms gamification and their systemic impact and our capital markets and retail investors. Also making an appearance is read it trading star known as warring kitty who is credited with helping start the game stop mania though his actions are being pro by massachusetts regulators since he was a registered securities broker an army of day traders following wall street bets the red at forum dedicated to quote making money and being amused while doing it up ended some market dynamics last month by taking aim at some heavily shorted stocks they ran them up as a group triggering short-squeezes and causing some hedge funds like melvin capital to record billions of dollars in losses. The party came to an end after brokerages restricted trading on stocks like game. Stop an amc entertainment. Though robin hood took the most flak due to its communication about the events and delay and taking curbs off of a meme trading

Melvin Capitals Gay Plotkin Kenneth Griffin House Financial Services Commi Robin Hoods Huffman Gill Keith Steve Mania Kitty Melvin Capital Massachusetts Amc Entertainment Robin Hood
Stimulus prospects could boost the stock market and interest rates in the week ahead

Wall Street Breakfast

00:23 sec | 5 months ago

Stimulus prospects could boost the stock market and interest rates in the week ahead

"A four-day trading week we'll see investors tackle the question of how inflation and rising interest rates could come into play this year. Stimulus legislation nears in dc citadel founder ken griffin robinhood ceo and executives from melvin capital are scheduled to testify in a house hearing on the wild market swings in shares of game stop and other heavily shorted stocks

Dc Citadel Ken Griffin Robinhood Melvin Capital
Understanding the GameStop Stock Market Drama

Bloomberg Wall Street Week

04:17 min | 6 months ago

Understanding the GameStop Stock Market Drama

"Markets have been shaken again over the past two weeks as Reddit Day traders boosted shares of companies like game Stop. And sent short selling hedge funds running with long short funds losing 6% overall last month, and Melvin Capital alone, plummeting 53%. But most hedge funds emerged unscathed. And Steve Cohen's 0.72 even attracted $1.5 billion in new money. Here's sweet that Ramachandran, GAM investment manager, I assume hedge funds are probably reluctant to short small cap stocks right now, if the fear that the Reddit brigade might be behind those, But by early this week, game stops to the moon rally started to come back toward Earth, and not even the reddit flash mob or changes the top of the company. Could get the irrational exuberance going again reminding us why hedge funds and short sellers target companies like Gamestop investor that gets caught in the up dressed on that and doesn't understand that investing well, it looks like it's all going up to the person to click the last by understand that that could happen to them that quickly. That's former e trade financial CEO Carl Rossner. I ask Council on foreign relations senior fellow Sebastian Mallaby, if anything will fundamentally change. In the hedge fund world. I don't really, I mean, I think that hedge funds which of course, go back to the sixties, at least have proven to be an amazingly robust platform from which to think creatively about risk. Ondo. They adapt. You know they get new stuff yesterday in their ways when they began, there was no such thing as trading currencies because turned his world fixed it together one mark, it's hardly existed. You have to trade stocks by appointment on. They adapted all the way through that, As everything changed the authentic thea advent of reddit the advent of Robin Hood. This is just the latest iteration of the long, long history of financial innovation, and every time hedge funds figure it out. You also have regulators trying to figure it out as it were, after the fact we have the Treasure Secretary Janet Yellen now saying She's meeting with regulators, saying, We need to take a hard look at this about the volatility and whether this might actually put in jeopardy. Some investors. We also have hearings in Congress coming up. Do you expect there might be some tweaking, at least to the regulations? I think with respect to Robin Hood on the fact that it had to close down Access to trading on second stocks. That's the kind of market interruption which regulators order take action on. You need the infrastructure of trading to be reversed you, you know you need to look at the plumbing, and some regulators put it. And so the back part of the system will definitely because they're fresh. Look, What about on the short selling side? There have been proposals as you know, well for short, so staff to disclose their positions, individual positions, which is done is I understand in Europe. Do you think there might be a renewal of that call? And by the way, why do we have to disclose on the long side and not the short? I'm not sure, Actually, that hedge funds do disclose on the long side unless they buy more than Disposable fresh over believe it's 5% or something off the company so you could get away with a lot without disclosing. I think you know when you Taking a really big position. Probably there's it becomes a systemic threat to you. You know, you might blow up if that position where to go very badly wrong on so regulators to care about the soundness of the system ever all Have a legitimate interests, but I think it's more positions shouldn't have to be disclosed. But we certainly had some large hedge funds who took a big hit on. I wonder whether that did suggest it could be systemic risk here. Well, the beauty of hedge funds is that through their long history They've proven to be smart enough to fail. Not too big to fail, they actually can blow up and people often cite long term capital management in 1998 Aziz. The big exception actually, if you go back and look at that incident The New York Fed convened the banks to recapitalize them, but no taxpayer money. Zero went him. So freestanding hedge funds. I'm not counting here, the subsidiary of best stones that went wrong in a rage. Freestanding hedge funds have never had a taxpayer bailout mills in capital has not needed to taxpayer bailout. That's the good thing about hedge funds.

Reddit Melvin Capital Carl Rossner Sebastian Mallaby Ondo Steve Cohen Ramachandran Janet Yellen Robin Hood GAM Gamestop Council On Foreign Relations Congress Europe New York Fed
"melvin capital" Discussed on KFI AM 640

KFI AM 640

02:05 min | 6 months ago

"melvin capital" Discussed on KFI AM 640

"People saw that When they bought the stock. The pushing I got the hedge funds took the loss. First, It was primarily Melvin Capital, a few others, so when when they did this in the stock went up. These people lost money. They're shorting on high leverage. Sometimes 10 to 20 times left, so they lost a lot of money first now, But to do that all these traders had to buy. Kind of roughly concerted and they push it way up. Look, just George's attended $20 doctor. Kate's in trouble, had some potential for turnaround, but it's 10 $20. That's where it's gonna end up back. They push it up the 482 bucks what he's doing that nose before. You know, it's like memory. The joking of a bear is chasing. You have to just have to outrun your friend, not the bear. Those traders multiplies that wait a minute. Now we put it up. Go. Hi. Guess what? The first guy out the best and the people who were slower get creamed, especially the ones that bought and later so Hedge funds Lu's first but then, when it goes back down to 1 12, lot of the small traders would have lost anybody that got in higher than 1 12, which would have probably been the majority says most people are natural. The more they see something go up, the more they jump on it, So it's not a good thing for the markets that George think about the ministry and Pipes Theater just sitting in this stock. All this happens, What are they going to make of this? Some people probably bought it when you rub sand will my God and then got killed other people. Um, you know, just probably sold. You know when I went down and thinking, you know, this is not good for the stock market. No, I think we shouldn't allow this type of leverage. Trading leverage should be for commercial companies that need to hedge the prices of their commodities of products or things like that, if that's what it was intended for. Traders take over these futures and options that stop in basically abusive e. I love what Chuck said. Credit story investing. That is what it is. I do love. At the hedge funds finally got done to them what they do every day every day invested. What do you think it just.

Hedge funds Lu George Melvin Capital Kate Pipes Theater Chuck
"melvin capital" Discussed on Bloomberg Radio New York

Bloomberg Radio New York

06:58 min | 6 months ago

"melvin capital" Discussed on Bloomberg Radio New York

"Has entered the game and it's probably not going away. That's what Jim Bianco our next guest says. Wall Street never saw their editors coming to me. Uncle is president of Bianco Research on Bloomberg Opinion columnist Jim Just first of all on today's action are the red ITER is sort of retreating just a little bit into their corners in preparation for something else. Big or they just now sort of having executed their plan for Gamestop are they sort of just retreating in general? I think that the retreating from the trade, um, they won. The announcement was yesterday when we found out that the gigantic short in the game stock and some of these other stocks Was covered by the hedge funds. The hedge funds took a big loss. They walked away, and now the short squeeze is ending and so that there are exiting the trade right now. And they're exiting, presumably to big loss. Dave Portnoy text They are sending out a tweet saying he lost $700,000 on the mean stocks Here. This is I mean, the retail investors are getting crushed here, aren't they? No, no, not getting crushed. Are some that are losing Portnoy lost some money. But that's not a big loss for him. He'll be back, You know, probably with a bigger Gaynor lost by the end of the week. If you follow him, like like I do closely Um around of the lot of the buying on all the way up to the top, which we found out now was a short cover. It wasn't necessarily retail. Look, if the answer is there 7.5 million people on reddit that some of those people lose with the market with this not going down. Yes. So if you're asking if the perfection in the trade um no, there isn't. But if you said here's a group of hedge funds, he was a group of retail traders who did better. Retail traders by far did better In this episode, the Masters of the Universe got hurt a lot worse in this trade than the retail traders. Yeah, Tim, How did I not see this coming? I mean, some of them are definitely in there on those red. It's you know, sub bread. It's I was communicating with one. You know, very large hedge fund manager last week and He actually said. It's really shocking. A swarm of small investors overpowering any sense of value this these were his words, How do they not see this coming? I think the problem is the word collusion. Look when the stock out over to 100% of the float. I think it's illegal. It's a short, it's a naked short, but even if it isn't illegal It is very poor risk management by a lot of these hedge funds to have that big a short. Why did they have that big A short because they all looked at each other and let me let me know. Mince words. Is Goldman Sachs going to stick it to us? Is another hedge fund going to stick it to us. Is J. P. Morgan going to stick it to us. No, none of them are going to stick it to us, So it's not imprudent to run that kind of risk. And then they said, who out there is going to figure this out. And stick it to us, and we found out who because if you go in the red aboard, they talked exactly about this. Starting in October, They identified Melvin Capital as being the big short and won the Um Ones when the oil short does report came out by Citron Research two weeks ago, they literally said, this is the This is the event right now. Let's go. We got them because they're at maximum squeeze potential. I think we're Michael Lewis writes the book. He's going to call this Now We've got the greatest trade that's ever been done. So Tim, some of these means stocks if you will, small to mid cap relatively thin. Float big short positions easy to squeeze re surprised to see the reddit traders going to something like a commodity like silver. Yeah, I'm not surprised by that. Um, that doesn't seem to be kind of their modus operandi. I and there is some Debate on Reddit. Whether or not they're actually doing that a swell too. But even if it is silver isn't silver. You know, One of my favorite movies is the hunt for Red October when the top you don't miss the boat. It's just around the ocean. That's the reddit traders looking for another target. So there'll be another chapter to this story. I don't know if it'll be next week or in three months. This crowd is still out there in Leslie. I would say before the last two weeks, we've been seeing this coming. When Buffett solders analyze. It was no less than Dave Portnoy, who led the charge that said, buff, It is only then he's past his prime. Let's all go by the allies. They doubled him must report. I made a ton of money off that trade back then. And the airlines are even higher. They bought the work from Rome stacks that weren't in the index is they bought test flight went up 600% and then got it to the S and s and P 500. They've even been playing the crypto currencies. So they've been largely winning at this Now. I'm not saying they're gonna win forever. What they've been doing is they've been looking at Wall Street's practices, which has a little bit of collusion. This is the kind of way we all do this We've been gaining their system over and over again and taking advantage of it. Wall Street's gonna have to change the way they do money. We're never going to see another big short interest in a stock like this. Again as we move forward because they fear is there now that somebody will stick it to us if we ever do it, Jim, are you concerned on the effect that this will have on Fort salaries and shorts, others making their research available for everybody to view? I mean, in a sense, the short sellers were the little guy for a long time, and they were the people that were ostracized by some in the market, and they were the people that were You know, putting themselves out there, not saying that they were all you know Heroes or Robin Hood's themselves. Let's you know, let's make that very, very clear. But some of them did have excellent research, and they were willing to share it with the world on Bond can't have been all bad. No, I agree. Short Selling is a critical function in the market to the guys like Jim Che knows Barcode is they have been very, very good at identifying literally fraudulent companies and explaining why they've been fraudulent through research reports and profiting off of that. That is a very valuable service. But then there were these smash and grab type of short sellers that kind of gotten away. Like I said, the other institutions didn't put a stop to it until retail did, And now all short sellers have been tarnished, and I think that at the end of the day, that's not a good thing. It is still a valuable function. That was a little overdone that's finally getting pulled back from the frost. But if if the gym chain noses Mark Otis is of the world have to go into hiding now, or witness protection programs Because of this, I don't think in the long run, this is benefits. All of us. Jim, Do you expect any regulatory oversight grow out of this from Washington or the SEC? We've heard some rumblings..

Dave Portnoy Jim Bianco Tim Gamestop Jim Just Jim Jim Che Goldman Sachs Bianco Research president Michael Lewis fund manager Robin Hood Mark Otis Bloomberg Opinion Melvin Capital J. P. Morgan
Congress gets involved with GameStop and Robinhood

Reset

05:58 min | 6 months ago

Congress gets involved with GameStop and Robinhood

"Story has been crazy but is it all legal whether it's the flurry of retail traders drug stock prices or the hedge funds and partner companies trying to maintain their dominance wall street is entering some new territory and the rules. Aren't really clear here to explain. Why congress is actually starting to involve is recruits. Ronnie mola sherani. Hey daddy so catch me up on game stop so we talked here on the show about retail traders mobilizing on read. It obviously A key part of the internet to buy hundred game. Stop stock right. And then there's this. Hedge fund called melvin capital but hedge for the general were shorting the stock and they lost all this money. What happened since we last talked about game. Stop so basically robin hood. This commission free app that everyone's been using to buy all these memes stocks like games up. Amc announced that it was actually going to restrict trading on certain stocks including game. Stop rate as all. These people were making a lot of money in the stock price was super high. And as a result everyone got really upset especially these retail investors. A lot of people joined this class action lawsuit saying that robinhood manipulated the market by restricting trades and caused them to lose a lot of money. Sort of this. This platform has become Now being dogged by allegations as it's an tank for one side or another. So why would robin and do this. Why would they yup. They're supposed to just facilitate trades and not care whether game stock goes up or down. Don't they make money on volume so they want more activity. But why would robinhood care if some hedge funds were taking a hit. So i don't think robin hood did care that hedge funds retaining hit. There's a lot of confusion about this but basically it comes down to this plumbing about how the market works and how trades are actually executed that you would never really need to know but essentially because all of these people were investing in these really volatile stocks stocks whose prices go up and down. Robinhood has to keep a certain amount of money. These deposits with clearing houses that are based on how volatile a stock is toronto. Keep some money. Just in case stuff goes race yes essentially and because so. Many people were trading in these really volatile stocks. They had to keep a lot more money. Something like tenfold. What they're used to. And they just didn't have the money for so they actually had to get an infusion of cash rely on a few of their investors to give them a billion plus dollars in order that they could keep letting people trade came out said that we didn't want to stop anyone from trading. Anything this has nothing to do with pets funds or anything. This was just a. We didn't have enough money to clear. These deposits okay so for all the conspiracy theories that have been going on about robin hood somehow being on the take or something like that. You're saying the explanation is actually more boring. It's just has to do with the way that complex financial from his actions like this happened right. And i mean it doesn't help that the way that robin hood makes money is it actually has this other company called citadel securities actually executed trades. And they pay robin hood and they make money because they sell the stocks for a little bit more than they buy them for. They make a few pennies on each trade. And then the guy who owns citadel it all securities also owns a hedge fund called citadel which helps bail out melvin capital which was short and game. Stop okay so there's some associations between between Robin hood and the people who were shorting stock. Yes but they're saying this had nothing to do with the decision they made. That was simply because the deposit requirements for too big sure. Sure okay so now what happens now. I mean so. We're starting to see some action in washington about this. Obviously this politically appealing to a lot of people because you can run against wall street running in silicon valley run against the rich people like. Tell me what we can expect. Obviously there's a lot going on dc but the seems like something that could have some. Bipartisan outrage to it yeah you saw lawmakers on both sides of the tweeting and calling for hearings. There's definitely going to be multiple hearings in congress about what happened. Precisely lawmakers are pretty happy to find any reason to call into question. What's going on wall street. And why a lot of this seems very unfair conservative. Republicans like ted cruz want some answers. Progressive democrats warn zero cossio. Cortez are making a big deal about this. Warren obviously has a background in financial regulation. Tell me tell me what she's thinking. About what congress should do about this just so we get a flavor of the types of things being talked about washington. Yeah she's saying there needs to be an sec investigation. The sec needs to do their job. Make sure there's more transparency in financial markets. Make sure it's not rigged. Make sure there's no manipulation so she's sort of just calling for them to figure out what's going on. Are they doing anything about this yet. So the sec side. It's monitoring the situation. It's also going to look into whether any investors were disadvantaged because they weren't allowed to buy these certain securities It's also important to know the sec's in transition right now. They have an acting chair but they're waiting for their nominee Gary gansler to actually be confirmed. But in the meantime yeah. You're you're just gonna see the sec monitoring the situation. They makes me wonder. How does robin feel about sort of these allegations or conspiracy. Theories robert is now being a little bit more open about what happened and they were in the initial kind of crisis mode. Yeah i mean. They've lifted some of the limits that they had on securities. You could now by game stop again if you buy a shares of amc. They're also going on the sort of like pr offensive. Where they're saying exactly what happened. The they wanna tell you all about clearing houses they want to tell you about the deposits the volatility. You know how how they had to spend so much money this time. So like even the vlad ten of went on clubhouse yesterday with your skin kind of tried to explain exactly what happened. you know. And they're just trying to say this wasn't some sort of giant wall street cabal. This was a really boring thing that had to do with deposit requirements.

Robin Hood Melvin Capital Ronnie Mola Sherani Robinhood Congress Citadel Securities Hedge Fund AMC SEC Robin Ted Cruz Cossio Confusion Toronto Citadel Washington Silicon Valley Gary Gansler Cortez
"melvin capital" Discussed on 860AM The Answer

860AM The Answer

01:56 min | 6 months ago

"melvin capital" Discussed on 860AM The Answer

"And if you'd read J. D. Vance's hillbilly elegy You would have understood why the game stop. Robin Hood. Wall Street story. Is pure Maga. So what really happened last weekend? Here? I have to give credit to my 21 year old son who's been in Robin Hood. He's been updating me every day on his investments on Robin Hood on what's going on on read it, So I went, I had a competitive advantage. The big boys. Melvin Capital, Citron, the hedge funds sort company, a brick and mortar video game store called Gamestop, and they wanted to crush it because they said that They'll never transform into the Internet age. They won't be able to what Netflix did, so they shorted it. They bet on its stock plummeting. And when the subreddit on that media page that social media app Of young guys of average Americans said. Hey, that's wrong. We love games. Stop! We're gonna buy shares. They pumped up the price of that share. More than 700%. Day event or David's took on Goliath. And they won. On one level. Anybody who loves free market should love this story. But I don't know that. It's about the little guy versus the establishment. On the establishment winning And it that in the establishment Losing to the little guy. That Is exactly why we elected Donald Trump. Represent the forgotten men and women across America. Maga is stronger than ever. It's up to us..

Robin Hood Donald Trump Maga J. D. Vance Netflix Melvin Capital David Gamestop America Citron
Musk in the Clubhouse, & Retail Traders on the Rise

Squawk Pod

03:51 min | 6 months ago

Musk in the Clubhouse, & Retail Traders on the Rise

"Good morning everybody. Welcome the squawk box. Cnbc and i'm becky quick. Along with joe kernan andrew organ andrew. Thanks becky and of course as you might imagine. We are monitoring shares of game. Stop once again. Let's show you where things stand robinhood planning to continue limit trading. In short squeeze names today it's narrowed its list of wounded trades from fifty stocks on friday to eight. Starting today customers will be only allowed to buy one share of game stop or five options contracts. The restrictions coming after wall street's clearinghouse mandated e tenfold increase in robin hood's deposit requirements last week and we should also mention that we're watching shares of or watching watching shares watching the price of silver trading at the highest level since two thousand thirteen. If you've been on read it over the weekend you'll know the red investors say they wanna pile into that commodity and they are doing so the hashtag silver squeeze which trending on twitter last night. That's spilling over into silver mining stocks. So there's lots of impacts across poured meantime sources telling cnbc that hedge fund. Melvin capital management lost fifty. Three percent in january. Melvin capital told us last week that it had closed out those positions in game. Stop on tuesday afternoon after sustaining heavy losses. Those are the losses talking about down. Fifty three percent. Senator and point seventy two infusing close to three billion dollars into melvin capitalist week in a source telling cnbc the point seventy two slid. Ten percent in january citadel lost three percent in january as well and i. I don't know if you guys were up late last night. I was not. But i've tried to listen in this morning to some of it elon. Musk was on clubhouse the social media platform last night. And we're gonna be talking to the ceo of clubhouse a little bit later today. But vlad ten of got on and effectively at of the c. O robinhood wants started affecting we interviewing vlad about what happened he effectively re reaffirmed her reconfirmed. What he told us on squawk box last week but to hear both of them talking about is quite a thing and maybe only speaks to where we are. Twenty four take on. It would seem like what was happening. Was everybody was pushing. On whether sid l. whether there's conflicts whether citadel was pushing on them to somehow closed down because part of the dave portnoy view of the world is because citadel has this arrangement with with them and was losing money themselves that there would be a conflict there where that the regulators are trying to do this or they're trying to protect the small the small guy but in fact that robin hood was trying to protect the big guy. Nice what was really happening there and and plaid stuck relatively to the script. It's appears and again. I have not heard the entirety of it but in terms of what he had said to us last week and very much specifically to the point that clearly this is a liquidity crisis of sorts for this company. The model becomes very complicated. When there's this kind of activity in only a handful of names and that they have to keep putting out bigger and bigger deposits on these names and that if you don't if you don't if you're not a massive bank with a huge balance sheet that becomes very hard. I mean i think it's gonna be very interesting to see what happens this week with robin hood to raise the question but you can make it through this week as an independent company. I think is a fair question to ask. They can keep limiting the trades. They if they limit the trays the flip side. As you'd imagine a lot of these investors will end up on fidelity or tennessee the ameritrade or other platforms. And we'll see exactly so there's sort of push pull that they're going to be grappling. With all week

Joe Kernan Andrew Organ Becky Melvin Capital Robin Hood Cnbc Sid L Dave Portnoy Andrew Melvin Musk Twitter
"melvin capital" Discussed on WBZ NewsRadio 1030

WBZ NewsRadio 1030

01:36 min | 6 months ago

"melvin capital" Discussed on WBZ NewsRadio 1030

"All three employees from Armstrong ambulance taken to the hospital. Their injuries are said to be minor in nature. A North Dakota family escapes a burning home thanks to their 10 year old daughter. And her cat capacity. Galloway didn't think much when her kittens started stroking her face just after dawn. That is until she smelled what she thought was burnt pizza and went to wake her parents and brother. It turns out that smell was there. Krystal, North Dakota home on Fire, the 10 year old and her family escaped the flames. Just in time. The kitten did not survive least Matteo, CBS News new owner of The New York Mets, says he has dropped Twitter because his family got threats. That he attributes to misinformation that it was not tied to the baseball team. Details from CBS is Matt Pike. It's all over the drama involving Gamestop on Wall Street. That's owner Steve Cohen's hedge fund, 0.72 has become entangled in market turmoil that's pitted a band of small investors against traders that made bets against or shorted stock of companies. Hedge funds that shorted Gamestop have lost billions as small investors bid up the company's shares. One of the short sellers, Melvin Capital, announced this week that it received a $750 million infusion from 7500.72, Cohen says there's been misinformation about it all and will be taking a Twitter break. Back. Piper, CBS NEWS New York Knees Reagan. That means snows on the way you're looking for a more reliable source for winter weather forecasts. The near mother's cousin F. B, It's coming from the West. Right? Neither you found it. Feel it in my head..

North Dakota CBS Steve Cohen Twitter Gamestop Matt Pike New York Mets CBS News Armstrong New York baseball Krystal Galloway Melvin Capital Matteo F. B Reagan
"melvin capital" Discussed on NewsRadio KFBK

NewsRadio KFBK

03:42 min | 6 months ago

"melvin capital" Discussed on NewsRadio KFBK

"One of those subreddit he's called Wall Street bets where amateur investors convened to share investing ideas. And once they caught wind that people were betting against Gamestop. The community took action by betting on games stop this community of online traders and day traders has been trying to defy these hedge funds and bidding. These stocks higher. They've been gathering so many people to do it that they're actually driving the stock prices higher Wall Street, Betts has millions of users so when even a fraction of them start buying stock in a company, the value of those shares go up much to the chagrin of people who now have to buy them back at a much higher price, according to the Wall Street Journal Melvin Capital Management hedge fund that bet against Gamestop. Being bailed out to the tune of $2.75 billion, essentially a proletarian uprising. That's John Biggs, editor in chief of Gizmodo, He says. This all comes at a time when a lot of Americans are feeling economically alienated. We saw the richest people in the world get richer during a pandemic. We sort of course people or even the middle class, fall down multiple runs. So two million people on Wall Street bets can get together and say OK, well, that no longer applies to us. We have big enough group that we're going to come in, and we're going to shock the system. And what's more technology that was once only seen at the big investment firms is now in the hands of everyday people. Lot of the tools that were hidden behind the scenes for a long time. Trading tools lot of the access to information while the understanding of the information in a lot of the analysis tools are are failing on the part of Wall Street and improving on the part of the average user companies like Robin Hood, let you buy and sell stocks says easily is hitting play on a podcast app. And that's not all. Here's Caleb again In the last two years, the big online traders. Basically all online brokers have eliminated commissions for buying stocks. It doesn't cost you anything to trade stocks anymore. Used to cost you Eight bucks or five bucks this week. Robin Hood and others put stringent limitations on transactions related to Gamestop, as well as some of the other ailing companies that have been caught up in the fray like AMC theaters or BlackBerry. Robin Hood says it made the move to cut down on volatility. That has, Caleb explains. Not everyone saw it that way. What a lot of people see this, as is them protecting the hedge funds that bet against these stocks because now that they're going so high The online brokers like a Robin Hood, or T D. A won't let the day traders do what they want to do. Robin Hood lifted those restrictions on Friday. But either way the market is volatile right now, especially when you consider the Wall Street that's community hasn't for the most part, pocketed their money. You gotta sell eventually to realize your games and when enough people start doing that, and enough people start to smell the fact. That the money is starting to leave these stocks that they're going to get a want to get out to. The problem is there aren't that many exit doors when this many people are rushing for them, and when that starts to happen, it's going to be very hard to get those trades executed on the way out, and some folks could be left holding the bag here and lose quite a bit of money. In an apparent effort to discourage users from selling their shares, phrases like hold the line began trending on social media late Thursday, even getting a boost from rapper and Fire Festival organizer job rule. The saga hasn't escaped the attention of Washington, either. Where press secretary Jen Psaki noted the White House is monitoring the situation alongside the Treasury Department and the SEC and that's not all and congressional leaders are also monitoring it because they like to have something to speak about, and I think we'll end up seeing some regulation around trading trading activity that's typically what happens after situations like this game stop, is actually planning to close more than 1000 stores by the end of the fiscal year in March after closing hundreds of locations over the past year. Robin Hood, meanwhile, reportedly weighing its own AIPO sometime this year,.

Robin Hood Gamestop Wall Street Journal Caleb editor in chief Washington John Biggs Jen Psaki Melvin Capital Management AMC Betts press secretary White House Treasury Department SEC
"melvin capital" Discussed on Bloomberg Radio New York

Bloomberg Radio New York

01:38 min | 6 months ago

"melvin capital" Discussed on Bloomberg Radio New York

"Will be done to determine valves. Cause of death. I'm Jim Forbes. New York City Mayor Bill de Blasio is canceling in person learning at public schools on Monday, with a major snowstorm heading toward the city, called the Castro has more. With the school's closed all students will pivot to remote learning on Monday. The mayor says A decision on whether students will remain remote on Tuesday will be announced tomorrow. Food distribution at schools and the Learning Bridges program also are canceled Monday. The blast CEO is also suspending alternate side parking through Tuesday. I'm Cameron Fairchild. And I'm Susanna Palmer In the Bloomberg News Room. Mayor Bill de Blasio said today. All public school classes will be remote on Monday as a major snowstorm barrels toward the city. The impending storm is also holding covert 19 vaccine appointments. 20 sites and seven clinics will be closed tomorrow, the mayor said. Anyone with an appointment will have it rescheduled for a later date. Bloomberg meteorologist Scott Kaplan says the city could get AH foot or more of snow and more north and west of the city. We're hearing Melvin Capital lost about 53% in January on Gamestop Corp and more than a dozen other bets. This after the firm found itself on the receiving end of a short squeeze started by retail investors motivated on Reddit 0.72 run by Mets owner Stephen Cohen, which invested 750 million and already had about one billion in Melvin. Was down between 10 and 15% through late January. It was unclear how much of that loss was from its investment. In Melbourne, Senator Elizabeth Warren is calling on regulators to step up.

Mayor Bill de Blasio Bloomberg Jim Forbes Senator Elizabeth Warren Melvin Capital Cameron Fairchild Susanna Palmer Scott Kaplan CEO Mets New York Stephen Cohen Melbourne Castro Gamestop Corp
"melvin capital" Discussed on KOMO

KOMO

02:31 min | 6 months ago

"melvin capital" Discussed on KOMO

"$1.9 Trillion economic relief proposal is on the table, and Democrats say they're going to move on. It's signaling that could happen. Even without support from Republicans, Senator Bernie Sanders tells ABC. The issue is not bipartisanship or not. The issue is all we going to address? The incredible set of crises and the pain and the anxiety which is in this country. Some Republicans have taken issue with the price tanks, saying it includes too many items not related to pandemic relief. Over 29 million doses of the Corona virus vaccine have been administered so far in the U. S. Health experts say the pace should go faster. One state, though among the leaders in vaccinating its population. West Virginia Governor Jim Justice says it comes down to a well planned system. If we had an unlimited supply of vaccines, we would have Every single breathing 65 year old plus vaccinated by Valentine's Day, West Virginia vaccinated about 10% of its adult population. Today is the last day of what's been the deadliest month of the pandemic over 90,000 people have died. Order to the Wall Street Journal Hedge fund Melvin Capital lost more than half of its value in January is it carried many of the losses caused by the soaring price and shares of stocks like Gamestop, ABC Deirdre Bolton, says fur traders on acts like Robin Hood Monday. Some restrictions will be in place as of Monday. If you're a new trader in Game stock, and you're on Robin Hood, you will only be able to buy one single share of the company until further notice. Other stocks that have been garnering social media attention, such as AMC, American Airlines, Bed Bath and Beyond and costs. They have the same restrictions. All five lawyers who plan to represent former President Donald Trump. It is Senate impeachment trial when it begins next week, have quit. Sources tell ABC was largely due to due to a disagreement over strategy. You're listening. To ABC News. Have you ever thought about saying good bye to your job? Just walking into your boss and saying I quit. And how would you like to commute to work without ever leaving your home will not long ago, A 39, year old entrepreneur from a billionaire family spent $20 million.3 years to find the best home based business in North America. He researched 70 different companies, and when he found the only one that had real long term potential, he bought it. And right now he's looking for people to help him turned this company into his next billion dollars success story. So if you're serious about making money from home without having to leave your home will grab a pen because I'm about to give you the address of a website where you can learn all about.

Republicans Robin Hood ABC West Virginia Senator Bernie Sanders ABC News Wall Street Journal North America Deirdre Bolton Donald Trump Governor Jim Justice Senate Valentine President Melvin Capital AMC Gamestop American Airlines
Melvin Capital, hedge fund that bet against GameStop, lost more than 50% in January

News, Traffic and Weather

00:33 sec | 6 months ago

Melvin Capital, hedge fund that bet against GameStop, lost more than 50% in January

"Order to the Wall Street Journal Hedge fund Melvin Capital lost more than half of its value in January is it carried many of the losses caused by the soaring price and shares of stocks like Gamestop, ABC Deirdre Bolton, says fur traders on acts like Robin Hood Monday. Some restrictions will be in place as of Monday. If you're a new trader in Game stock, and you're on Robin Hood, you will only be able to buy one single share of the company until further notice. Other stocks that have been garnering social media attention, such as AMC, American Airlines, Bed Bath and Beyond and costs. They have the same

Melvin Capital Deirdre Bolton Robin Hood Gamestop AMC American Airlines
"melvin capital" Discussed on 710 WOR

710 WOR

02:56 min | 6 months ago

"melvin capital" Discussed on 710 WOR

"You got this David and Goliath battle going on on Wall Street. Where you have They traitors, people that bypassed the big hedge funds, and they do their own trading and the not paying we often when you buy and sell stocks, you have to pay a commission. But if you go to these different websites, you don't have to do that. But anyway, they actually figured out that these companies these hedge funds they, Thies Elias, if you will were were sort of the short stocks strategies of shorting of stock strategies that they've used was going way too far, and they Figured out that Ah, lot of the stock was Phantom stock. I mean, which was pretty bizarre. In other words, they're shorting stocks that are don't even exist. If it's 100% of stocks that you can short, okay, you can't short 140% of stocks. And I'm watching this all go on, and we all see that these independent investors group together on Reddit another places. And you see the stock rise of Gamestop and some of these other BlackBerry and a few other companies soaring through the roof. And then you got a company like Melvin Capital cratering their hedge fund and having been forced to exit the short bet against game shop and a big win for the little guy am I think we're the point in this country's history, where and when, in doubt, be for the little guy? Well, we have too many billionaires who are totally out of touch with the widow. World. We have too many billionaires who think that their financial success means they can dictate politics to the rest of us on 20 millionaires who are willing to use their muscle in order to reshape the country based on their particular psychology or their particular ideology. So I've always believed the heart of America is the average Individual American. And if enough individuals can band together to beat the big boys, I am all for it. We'll get new carriages take on impeachment on the other side, 809 for one. Shawn is our number if you want to be a part of the program Shawn's got more behind the scenes information, more contacts than anybody. More friends behind the curtain. Sean Hannity is on on 7 10 W. O R. You have three ex wives and your current trophy wife wants a life insurance policy three times the size of the policies you had to purchase for your previous mistakes. If so, you need to call big Lou and term provider 804 44 93 36 Big Louis intimately familiar with your problems. And if you're 50 or 60 years old and in reasonably good health, a $1 million policy should only cost.

Shawn Sean Hannity David Thies Elias Reddit Gamestop Melvin Capital Lou America
"melvin capital" Discussed on WLS-AM 890

WLS-AM 890

05:07 min | 6 months ago

"melvin capital" Discussed on WLS-AM 890

"That's promo code. Shapiro. Okay, So, Robin Hood said in a Thursday block post that after the recent volatility, it wasn't allowing the purchase of new stock from Gamestop, AMC, BlackBerry Bed Bath and beyond, Accost Headphones and Nokia as well as naked brands, which may have gotten caught up in the shutdown after Wednesday direct offering campaign But it also raised the margin requirements for some securities, meaning users have to now front more of their own money to buy the securities ostensibly benefiting those with more cash right. So now, instead of being able to borrow money in order by the stock And now they're gonna make you put up your own money in order by the stock. TD Ameritrade and Charles Schwab also increased margin requirements for Gamestop stock on Wednesday. Robin Hood put out a statement. The statement is ridiculous on its face. The Robin Hood statement says that they're trying to protect their users. What from from their users. Like that. That's that's their statement. They said that they were trying to help their customers navigate this uncertainty. Okay, everybody who's buying. It knows exactly what the game is. If you don't know what the game is, you shouldn't be buying in. Everybody knows that. This is basically a giant ass prank in which a bunch of people who got in early on the action gonna make a lot of money and the hedge fund guys gonna pay through the nose. Verge, noted that one hedge fund suffering amid the Gamestop search was Melvin Capital Management. This is where things get really ugly. So one of the things that is suspected here is that Robin Hood basically stopped trading on game stop because One of the big Institutional investors that had shorted Gamestop was Melvin Capital Management. It incurred like $2 billion of losses. It also happens that they are a are a borrower, apparently from another hedge fund called Citadel. The Citadel has has a big share of Melvin Capital Management or some assets under management. Citadels founders Can Griffin, who founded Citadel Securities. Citadel Securities, is a giant investor in Robin Hood. They also work with TD Ameritrade in Charles Schwab. So what it looks like to the to the Suspicious eye is like Citadel was losing money via me via Melvin Capital because they keep bailing out Melvin Capital. And so they went to the other app that they essentially own or are heavy, heavy investors in Hands and they said, you know, it would be great is if you guys could stop it. If you could stop the bleeding that be amazing, and then Robin Hood because they know that their chief investors Were unhappy, decided to completely undercut their central mission and just stop low level traders from engaging in these sorts of plays. That is really, really bad stuff. And probably illegal stuff. It is. It is ugly all the way through. Now several retailers stock brokers brokers, including Robin Hood, said they would allow trades of Gamestop again and other volatile cos. After restricting customer ability of purchase securities. Earlier in the day, they said, we plan to allow limited bison. These securities only limited, though. Actually, I'd like to run the stock price again. We'll continue to monitor the situation and they make adjustments as needed. Robin Hood said Thursday morning would limit buying of the kinds of securities that have sparked an enormous rally in shares of Game Stop the video game retailer at the heart of the frenzy and AMC Entertainment Holdings, the movie theater chain and a number of other companies. The decision, of course, drew fire. As I mentioned a OSI didn't like it, Senator Ted Cruz agreed again. I don't really understand why oes he doesn't like it other than she doesn't like Wall Street and sees an opportunity to bash Wall Street. The reality she doesn't want you to be able to trade in the market doesn't like the markets period. It's the sort of seeing a lot of folks on the left being like, Yeah, Robin Hood needs to allow everybody to trade in the markets. What they're really interested in is the fact that these guys hurt the hedge funds. They're not interested in people being able to trade in the market. If Robin Hood had decided to restrict its users, too. To fewer trade's overall without any of the attempt to take down the hedge funds. I don't think anybody will have to be complaining about that. They're looking for heavy regulation. They're looking for more regulation of the markets, not less regulation of the markets, but welcome to the libertarian Party Comrades. I mean, seriously, come on in, Join the fun. Robin Hood said that it was not favoring the traders. They said that they did all of this because of financial requirements, including SEC net capital obligations and clearing house deposits. They say it was a risk management decision was not made on the direction of the market makers. We route too. Weeble, another trading, APP said customers would only be able to liquidate positions they had in game stop AMC and cost. Before they lifted restrictions in the afternoon. So look like all of a sudden, all of these APS decided all at once that they were going to restrict people from doing what they were doing, which is wild and crazy and dangerous and obviously requires investigation. Senator Mike Lee has pledged that he would like to launch an investigation into all of this. Ugly, ugly stuff. Meanwhile, Google is salvaging Robin Hood's one star rating by the leading nearly 100,000 negative reviews, so people went on to Robin Hood, and they were like, okay, this app sucks because I can't do it. I want Tokyo Google, then delete it all of that. Which is just another way of rigging the market. If the big this falls into the broader category of the big tech bro's they have too much power to shut things down. They do. It is a problem. It is a real problem. That does not mean that government regulation is per se The answer to this That if all of these abs can be leveraged into shutting down the common man Then he's as have way too much power. And unfortunately, as we have seen with parlor when you start building.

Robin Hood Gamestop Melvin Capital Management Citadel Securities Melvin Capital Charles Schwab Google TD Ameritrade Shapiro Ameritrade Nokia Senator Ted Cruz AMC Can Griffin AMC Entertainment Holdings Verge Senator Mike Lee
"melvin capital" Discussed on KLIF 570 AM

KLIF 570 AM

05:03 min | 6 months ago

"melvin capital" Discussed on KLIF 570 AM

"Because theaters were shut down, right? And they're going to lose $5 this year. So last year was $33 loss this year $5 except they're losing $5 a quarter in the most recent quarter, and, of course, there's almost no revenue. And there's dead. The debt is 400% of capitalization, or it's 400% of equity. It's a E. I mean, bankruptcy is a good option for a company like that, right? Yeah. And There was they raise some capital, which started this back to your point. So it was about 300 million in a convertible unsecured bond. This is a Warren Buffett move on the part of a private equity down. So they loaned him the money with a call option. Of course, they've are with a convertible option. Like like a warrant, like a Warren Buffett warrant. And Of course, they decided to exercise you know there. Yeah. They probably got their warrant at Less than $3. And when I got to 15 of it, they were like, Hey, it's there. So AMC was one of them. If you can't play it like that, then it's probably not worth You know, betting a turnaround. There were a lot of people that called us on J. C. Penney. Ah, and that didn't work. Longer Term. Yeah, There's some people that Had some pretty strong conviction that G. C. Penney would turn it around. And, Yeah, sounds good trading lesson Read. It's Wall Street bets, message boards. That's a new force in trading, okay? Yeah, it is it. Here's Here's the zero hedge article. Okay. Okay. So first casualty of the big short squeeze. Melvin Capital. They've got picture of Melvin right here. Okay. Melvin capitals, Gabe Plotkin. We'll just call him now that he's famous now, uh, in a bad way massive losses on its shorts set to receive a $2.75 billion capital injection. From Citadel, one of the big guys and 10.72 investors. It's a bailout s o. He could pay is margin call. Which okay so alternative investing sometimes doesn't work. Um, and the long short strategy. Think is dead for a long time, because the results weren't that good for the category, right? Um they weren't that good. You know, the high yield index was better. If you take it is a category and now it's proved to be extraordinarily dangerous because you've got a whole group that realizes if a bunch of people bet the stock goes down in short, it Then then, here we go. Um, this is interesting. Neo AMC plug power, Blackberry bed bath and beyond. Papa Dean mentioned bed bath and beyond. He was He was having some fun with this, By the way, was he? Yeah. I don't know how much I don't know how it how he did. We can ask him because he'll be on later in February. Okay? Okay. We don't have to ask him because he's had that for for awhile. Had me Yep. That Z. Well, and he had done. He had done something with options, but I don't want to. Well, I don't know if you want to talk about if he didn't make money at it, Okay, You know, maybe he does. I don't want I don't want to scare him off. Okay? All right. What's next? Michael Burry calls game stop. Unnatural and insane. The rally. Okay, so next economic growth. Let's get to some. Let's let's get to some economic news here. We've got important forecasts, too, so economic growth came in at 4%. Atlanta Fed was wrong, They said. It could be a size 11, but you had the additional shutdowns. Yeah, now. California, New Yorker reopening Well, I think you get first quarter numbers and they're probably 10 or 11. Okay, Well, that's good. Yeah, OK, but that's coming off a pretty weak comp. If I look at last year's Q one and cue to actually mean we're gonna We're gonna get some pretty good numbers, I think. And so that says, first two quarters. Good. Yeah. Okay, So let's get to John Hook on institutional research source. Yeah. Somebody who's a lot of fun and He's been on the program from his Manhattan We'll call it a penthouse. I don't know if it's pretty house or not. But anyway, you get gets a lot of money for his research, and he was spot on on this thing so Um, give us the takeaways, and then we'll take him apart. All right. Dominant force for stocks is likely that the stimulus near record large rally for at least two quarters. Then he says, crash later, probably from inflation, He said. What crash from inflation from inflation? Yeah, it's a bold statement. Well, I'm not email him right now and say OK when Uh, exactly what.

Melvin capitals Gabe Plotkin Warren Buffett AMC John Hook J. C. Penney Melvin Capital Melvin Michael Burry California Papa Dean Manhattan Neo Atlanta Fed
"melvin capital" Discussed on 790 KABC

790 KABC

04:59 min | 6 months ago

"melvin capital" Discussed on 790 KABC

"Okay, so, Robin Hood said in the Thursday block post after the recent volatility. It wasn't allowing the purchase of new stock from Gamestop, AMC, BlackBerry Bed Bath and beyond cost Headphones and Nokia as well as naked brands, which may have gotten caught up in the shutdown after Wednesday direct offer in campaign But it also raised the margin requirements for some securities, meaning users have to now front more of their own money to buy the security's a sensibly benefiting those with more cash right. So now, instead of being able to borrow money in order by the stock And now they're gonna make you put up your own money in order by the stock. TD Ameritrade and Charles Schwab also increased margin requirements for Gamestop stock on Wednesday. Robin Hood put out a statement. The statement is ridiculous on its face. The Robin Hood statement says that they're trying to protect their users. What from from their users. Like that. That's that's their statement. They said that they were trying to help their customers navigate this uncertainty. Okay, everybody who's buying. It knows exactly what the game is. If you don't know what the game is, you shouldn't be buying in. Everybody knows that. This is basically a giant ass prank in which a bunch of people who got in early on the action gonna make a lot of money and the hedge fund guys gonna pay through the nose. Verge, noted that one hedge fund suffering amid the Gamestop search was Melvin Capital Management. This is where things get really ugly. So one of the things that is suspected here is that Robin Hood basically stopped trading on on game stop because One of the big Institutional investors that had shorted Gamestop was Melvin Capital Management. It incurred like $2 billion of losses over the past 48 hours. Hey, it also happens that they Are a are a borrower, apparently from another hedge fund called Citadel. So Citadel has has a big share of Melvin Capital Management or some assets under management. Citadels founder is Ken Griffin. Founded Citadel Securities. Citadel Securities, is a giant investor in Robin Hood. They also work with TD Ameritrade in Charles Schwab. So what it looks like to the to the Suspicious eye is like Citadel was losing money via me via Melvin Capital because they keep bailing out Melvin Capital. And so they went to the other app that they essentially own or are heavily heavy Investors in And and they said, you know would be great is if you guys could start if you could stop the bleeding that be amazing, and then Robin Hood because they know that their chief investors We're unhappy, decided to completely undercut their central mission and just stop low level traders from engaging in these sorts of plays. That is really, really bad stuff. And probably illegal stuff. It is. It is ugly all the way through. Now. As of this morning, several retailers stock brokers brokers, including Robin Hood, said they would allow trades of Gamestop again and other volatile cos. After restricting customer ability of purchase securities earlier in the day. Starting tomorrow, they said. We plan to allow limited buys of these securities only limited, though, right? So they're not gonna let you tore up the stock price again. We'll continue to monitor the situation and they make adjustments as needed. Robin Hood said Thursday morning would limit buying of the kinds of securities that have sparked an enormous rally insurance game. Stop the video game retailer at the heart of the frenzy and AMC Entertainment Holdings, the movie theater chain and a number of other companies. The decision, of course, drew fire. As I mentioned a OSI didn't like it, Senator Ted Cruz agreed again. I don't really understand why oes he doesn't like it other than she doesn't like Wall Street and sees an opportunity to bash Wall Street. The reality she doesn't want you to be able to trade in the market doesn't like the markets period. It's the sort of I'm seeing a lot of folks on the left being like, Yeah, Robin Hood needs to allow everybody to trade in the markets. What they're really interested in is the fact that these guys hurt the hedge funds. They're not interested in people being able to trade in the market. If Robin Hood had decided to restrict its users, too. To fewer trade's overall without any of the attempt to take down the hedge funds. I don't think anybody in life to be complaining about that. They're looking for heavy regulation. They're looking for more regulation of the markets, not less regulation of the markets, but welcome to the libertarian Party Comrades. I mean, seriously, come on in, Join the fun. Robin Hood said that it was not favoring big traders. They said that they did all of this because of financial requirements, including SEC net capital obligations and clearing house deposits. They say it was a risk management decision was not made on the direction of the market makers. We route too. Weeble, another trading, APP said customers would only be able to liquidate positions they had in game stop AMC and cost. Before they lifted restrictions in the afternoon. So look like all of a sudden, all of these APS decided all at once that they were going to restrict people from doing what they were doing, which is wild and crazy and dangerous and obviously requires investigation. Senator Mike Lee has pledged that he would like to launch an investigation into all of this. Ugly, ugly stuff. Meanwhile, Google is salvaging Robin has one star rating by the leading nearly 100,000 negative reviews, so people went on to Robin Hood, and they were like, okay, this app sucks. Because I can't do it. I'm gonna do Google, then delete it all of that. Which is just another way of rigging the market. If the big this falls into the broader category of the big tech grows, they have too much power to shut things down. They do. It is a problem. It is a real problem. That does not mean the government regulation is per se The answer to this It does mean.

Robin Hood Gamestop Melvin Capital Management Citadel Securities Citadels Melvin Capital Charles Schwab TD Ameritrade Ameritrade Google Nokia Senator Ted Cruz AMC Entertainment Holdings AMC Verge Senator Mike Lee
"melvin capital" Discussed on Esports Minute

Esports Minute

04:45 min | 6 months ago

"melvin capital" Discussed on Esports Minute

"I'm the dreams as the Esports minute for me Sports Network. So a lot smarter people than me have explained the situation, but I'm going to give it a pretty short explanation. But please go look for better ones. And first of all, I'm not a financial advisor. I just like the stock. I think most people have seen the meme GameStop stock. Oh absolutely nuclear and value along with some other stocks that had big short positions taken out on them a short Mission put simply is the ability to borrow a stock and sell it with the goal of buying the stock back later with the cost reduce and then returning the borrowed stock. It's effectively a bet on companies a going-out-of-business or at least continuing to decline. That's why the names being thrown out today are companies on the decline GameStop AMC Theaters Nokia Blackberry Etc wage. Some hedge funds would absolutely stupid with these short positions. Sometimes taking out a larger position than actual stocks available. You know classic Wall Street stuff one. Such firm was Melvin Capital took out a massive short position primarily on GameStop, then Wall Street bets erratic Community filled with people from a wide variety of backgrounds. Each independently made the choice to invest in GameStop orchestrating what's known as a short squeeze from there. The stock price goes up as firms like Melvin Capital have to cover their losses by buying more stock and the end result is a staring contest of sorts with both sides trying to out hold the other one. This is again super over simplified, please go search out better explanations of what's going on to the one I'm giving right now. This has been happening over the course of the week. But yesterday on Thursday it became even more complicated when Robin Hood decided to freeze trading Robinhood is an app that brand itself as a place to democratize Trading. Bring in retail Traders and allow everybody to get a little piece of the stock market. They even named themselves Robin Hood after the famous character that stole from the rich to give back to the poor. Well, one of the big backers of Robin Hood is Citadel who's also a backer of Melvin capital and when push came to shove Citadel forced Robin Hood 2008 trades Robin Hood still claimed his allegedly. Allegedly Robin Hood still claims. They did this because of the volatility and to protect their users, but it's pretty clear that out of the stocks all froze at a pretty suspicious time to the point where even and Ted Cruz two completely opposite sides of the American political Spectrum both were calling out Robin Hood and calling us today. She's into it. So there's some shady stuff going on here. But what happened yesterday with people unable to buy it the price started dipping, although not really back to Earth. It didn't crater like one would expect. Free this entire ordeal as I write this with markets closing on Friday afternoon. GameStop is right around $300 a share AMC is around $13 and blackberry is 14000 of those numbers represent massive jumps from where the stock was a few weeks ago, but solid declines from Peaks reached over the last week right now. We are in basically a three-way standoff with hedge funds retail investors and then the giant question mark of government regulations and trading platforms. If Government Regulators decide to step in if trading platforms decide to shut down even more true that's going to have massive impact on what happens here. We really don't know how this is going to play out. And anybody who says they do take them with a grain of salt. I say that as someone who has some am seeing a little bit of gme and some Dogecoin in his portfolio. But still please be careful. Don't invest any money you aren't able to lose also another word of caution. Don't fool. This is entirely a David V Goliath situation here. Wall Street is very smart. And there are a lot of firms not named Melvin capital or Citadel some of those firms were already long on GameStop many others saw what was happening and took out big positions. So while this has often been framed as Wall Street vs. Reddit that's not entirely accurate but for retail investors their choice might actually be a bit of a silver lining because what it means that the deck is not entirely stacked against you plenty of uber rich people have a lot to gain from this short squeeze as well. If it was all about money versus a bunch of people on Reddit. Well, I think history tells us who's going to win that but there's a lot of money on the GameStop side too. So who knows how this is going to play out wage. It's important to recognize that all the billionaires who are tweeting out their support. I'm looking at you Elon Musk and Mark Cuban might not be doing that entirely for altruistic

Melvin Capital GameStop Nokia Sports Network today Each Esports Blackberry AMC first Wall Street
An Attempt at Breaking Down the GameStop Situation

Esports Minute

04:45 min | 6 months ago

An Attempt at Breaking Down the GameStop Situation

"I'm the dreams as the Esports minute for me Sports Network. So a lot smarter people than me have explained the situation, but I'm going to give it a pretty short explanation. But please go look for better ones. And first of all, I'm not a financial advisor. I just like the stock. I think most people have seen the meme GameStop stock. Oh absolutely nuclear and value along with some other stocks that had big short positions taken out on them a short Mission put simply is the ability to borrow a stock and sell it with the goal of buying the stock back later with the cost reduce and then returning the borrowed stock. It's effectively a bet on companies a going-out-of-business or at least continuing to decline. That's why the names being thrown out today are companies on the decline GameStop AMC Theaters Nokia Blackberry Etc wage. Some hedge funds would absolutely stupid with these short positions. Sometimes taking out a larger position than actual stocks available. You know classic Wall Street stuff one. Such firm was Melvin Capital took out a massive short position primarily on GameStop, then Wall Street bets erratic Community filled with people from a wide variety of backgrounds. Each independently made the choice to invest in GameStop orchestrating what's known as a short squeeze from there. The stock price goes up as firms like Melvin Capital have to cover their losses by buying more stock and the end result is a staring contest of sorts with both sides trying to out hold the other one. This is again super over simplified, please go search out better explanations of what's going on to the one I'm giving right now. This has been happening over the course of the week. But yesterday on Thursday it became even more complicated when Robin Hood decided to freeze trading Robinhood is an app that brand itself as a place to democratize Trading. Bring in retail Traders and allow everybody to get a little piece of the stock market. They even named themselves Robin Hood after the famous character that stole from the rich to give back to the poor. Well, one of the big backers of Robin Hood is Citadel who's also a backer of Melvin capital and when push came to shove Citadel forced Robin Hood 2008 trades Robin Hood still claimed his allegedly. Allegedly Robin Hood still claims. They did this because of the volatility and to protect their users, but it's pretty clear that out of the stocks all froze at a pretty suspicious time to the point where even and Ted Cruz two completely opposite sides of the American political Spectrum both were calling out Robin Hood and calling us today. She's into it. So there's some shady stuff going on here. But what happened yesterday with people unable to buy it the price started dipping, although not really back to Earth. It didn't crater like one would expect. Free this entire ordeal as I write this with markets closing on Friday afternoon. GameStop is right around $300 a share AMC is around $13 and blackberry is 14000 of those numbers represent massive jumps from where the stock was a few weeks ago, but solid declines from Peaks reached over the last week right now. We are in basically a three-way standoff with hedge funds retail investors and then the giant question mark of government regulations and trading platforms. If Government Regulators decide to step in if trading platforms decide to shut down even more true that's going to have massive impact on what happens here. We really don't know how this is going to play out. And anybody who says they do take them with a grain of salt. I say that as someone who has some am seeing a little bit of gme and some Dogecoin in his portfolio. But still please be careful. Don't invest any money you aren't able to lose also another word of caution. Don't fool. This is entirely a David V Goliath situation here. Wall Street is very smart. And there are a lot of firms not named Melvin capital or Citadel some of those firms were already long on GameStop many others saw what was happening and took out big positions. So while this has often been framed as Wall Street vs. Reddit that's not entirely accurate but for retail investors their choice might actually be a bit of a silver lining because what it means that the deck is not entirely stacked against you plenty of uber rich people have a lot to gain from this short squeeze as well. If it was all about money versus a bunch of people on Reddit. Well, I think history tells us who's going to win that but there's a lot of money on the GameStop side too. So who knows how this is going to play out wage. It's important to recognize that all the billionaires who are tweeting out their support. I'm looking at you Elon Musk and Mark Cuban might not be doing that entirely for altruistic

Robin Hood Gamestop Melvin Capital Gamestop Amc Ted Cruz Nokia Melvin David V Goliath AMC Reddit Citadel Elon Musk Mark Cuban
"melvin capital" Discussed on Esports Minute

Esports Minute

03:08 min | 6 months ago

"melvin capital" Discussed on Esports Minute

"I'm the dreams as the Esports minute for me Sports Network. So a lot smarter people than me have explained the situation, but I'm going to give it a pretty short explanation. But please go look for better ones. And first of all, I'm not a financial advisor. I just like the stock. I think most people have seen the meme GameStop stock. Oh absolutely nuclear and value along with some other stocks that had big short positions taken out on them a short Mission put simply is the ability to borrow a stock and sell it with the goal of buying the stock back later with the cost reduce and then returning the borrowed stock. It's effectively a bet on companies a going-out-of-business or at least continuing to decline. That's why the names being thrown out today are companies on the decline GameStop AMC Theaters Nokia Blackberry Etc wage. Some hedge funds would absolutely stupid with these short positions. Sometimes taking out a larger position than actual stocks available. You know classic Wall Street stuff one. Such firm was Melvin Capital took out a massive short position primarily on GameStop, then Wall Street bets erratic Community filled with people from a wide variety of backgrounds. Each independently made the choice to invest in GameStop.

Melvin Capital GameStop Nokia Sports Network today Each Esports Blackberry AMC first Wall Street
"melvin capital" Discussed on 77WABC Radio

77WABC Radio

05:02 min | 6 months ago

"melvin capital" Discussed on 77WABC Radio

"The New York attorney general a tissue James finds at the state undercounted nursing home deaths, and this goes back to governor Andrew Cuomo. The other big story is we're continuing to talk about Gamestop, and now some big names got involved. It was a great Twitter battle yesterday, which I watched all of it between the owner of the New York Mets. Steve Cohen. We took a bath in this He got killed and day Portnoy, The man that started bar stool sports and has now raised over $30 million for small businesses. Importantly, went right after Steve Cohen. He said, Listen, man, you should be in prison guys like you were doing this every day. And you know these every day traders. They just want a piece of the pie and you're making it very, very difficult. Robin Hood, by the way, received about a billion dollars a billion. And money's yesterday. So a nice little battle between Steve Come one of the Mets and they import Neue Boy store. Yes, Steve Cohen. He that he's heavily invested in the Melvin Melvin Capital, which went after Ah, game stop, which is again as we talked about yesterday. These hedge funds that's what they do they prey on fledgling businesses. And they're like vultures. Really. They see somebody dying, they swoop in and then they just, you know, they finished him off and then eat the carcass pretty much and they get filthy rich off it. And so these guys on reddit a lot of people who maybe not already who heard about it just joined in on this thing this crusade to stop this, this particular hedge fund Melvin Capital. From taking down game stuff because they had this. They had this sentimental attachment to games. A lot of these. These people, they're young people. Ah, sentimental attachment to get I've shopped in Gabe, stop many temples. Nintendo's X boxes, You know, grant theft Auto, uh, call of duty. I've been there many times a lot of Christmas gifts from Gamestop and these kids. Love it. Now they're adults, and they tried to say that they didn't like They've been doing this for a while, but in particular in game stop in particular struck a chord in them, And that's why they really rallied around game stuff. Steve Coleman actually backed off If you watch the Twitter war against a Portnoy scared him. He did, And they point actually congratulated Steve Cohen for at least continuing the conversation. If the Portnoy really beat his brains in, Yeah, Cohen was pretty tame in his back off back here with Jon Stewart, one of those guys we talked about earlier, who did join Twitter yesterday in defense. Of read it and then a said. That's not enough. One day Williams with method Man Governor Cuomo responsible for about 20,000 more deaths and the continuation of the game stops story. Sicily. Tyson died yesterday. You know, Sydney? They they they say it comes in threes. And in this case, they've been born out. You had Larry King, right? You had Cloris Florist Leachman. And now Mike Tyson's grandmother. Is that right? They related Yes. Are you sure it's not Tyson Chicken? No positive, positive. It's funny. You say that I was saying yesterday they come in threes, by the way, hanker make it for Karen. Yeah, but I was thinking about what's it called Just Cloris. And and Sicily. I for gotten about Larry. So you're right. It has come in three job, baby. Terrible job already forgot about Larry King about him and we got a guy coming in today. Who cried like a baby when Larry died because he was his agent, and that's a good friend of mine and authorized dollars. Bruce Charity, Actually, Larry King's agent, cried like a baby. He's coming in with author Right, Donald later on this morning, so well, yes. Good stories about Larry at the very end. Okay, excited about that. I mean, he cried like a baby like a baby mean. I told her that Hilary's kids even cried like, you know, that's that's why Frank Morano said You don't understand. This guy was crying like a baby. I'm like, really like where I mean, how do how do we know this? Well, he's gonna be sitting here this morning. He's competes. Gonna probably confirm it. Um, I think somebody else saw it. It may have been frank and made an author. I don't know. You look like a man. You gonna yelling over the show? No, no, no, no, no, I'm just sure just trying to be silly. Look, if he had some sort of attachment God bless it was his agent is you cried when Penny Marshall, but not like a baby. You just You should some tears. No, no, I saw the little bit. You know, I was just sorry. I didn't see that. Maybe that was home. Sometimes I go into the corner. And on Lee David Rosie sees it 1 808 48 w A. B C 1 808 48 92 22. So we've got four great guest coming on Today's program, four of them all the stories you want to hear, Lydia reports said. The songs the van, I just figured it out. You did no more commission. That's why he's complaining, baby. That's funny. Maybe some truth to that beat Bernie is coming up a swell welcome to Friday morning. It's me the price you can't save everyone you're going to lose people. That's life. New York Proud. New York Loud with New York attitude all here on talk radio 77 Democrats. Telling you ABC traffic.

Steve Cohen Larry King New York Mets Twitter Man Governor Cuomo New York Portnoy Gamestop Sicily Mike Tyson Melvin Melvin Capital Frank Morano Steve Coleman Steve Come Melvin Capital Cloris Florist Leachman Robin Hood Tyson Chicken
"melvin capital" Discussed on 77WABC Radio

77WABC Radio

06:42 min | 6 months ago

"melvin capital" Discussed on 77WABC Radio

"Rebecca? Hurry, Say the great Tom Jones. He took a beating yesterday on Gamestop shadows. I really want to know the guys that did I I'm tempted to text Scaramucci this morning, but I don't really want to know. Fine. Well, it was the it was one particular firm. Uh, heads from Melvin Capital. Yeah. So that they were the ones who were in particular targeting. They were targeting Gamestop and they took the beating and again the people on Robin Hood. The day traders the Davids if you will. Prevailed at least yesterday against the Goliath. They had that one big day, so let's see if that can continue. Let's just this is just a great story. I love it. Now it is. I mean, you Really put it out there perfectly. It is David versus Goliath, and David doesn't usually win. So this was great, and it just got together and it's all because most of the people on Reddit again. They are gamers. They're they're you know, my my son is in that genre of of kids. Maybe Matt mean he is, I don't know, not the gamers, but I am on Robin Hood. He's on what He's mean. He's on Robin Hood. My thing with two kids are on. Yeah. What is that? Not only is it commission free, but you don't have to buy entire share. So if you wanted to buy a dot like a dollar of a stock, that was $50. You could do that right? The bias help in at a certain percentage. Yeah, you could buy like, you know, half a stock now. Well, there you have it. Go to Robin Hood today and hop on that wedding message board and get yourself caught up on how folks are making and losing on certain days, millions and billions of dollars another that the cat is a lot of the news is out. All these guys may want to try to cash in today, so the stock market is down 600 points yesterday. It'll get worse. It's already the future's it down. Now, let's see what happens tonight. Take a beating. We got a little comeback. We wear this vaccine story, of course in New York City, that is, I think becoming the biggest story. I mean, we've got the crime and we've got people getting shot every day and this'll respecting cops, and that's kind of like I was getting shot. That goes with the day that the vaccine story, I guess is is the big one because everybody in the city wants to go back to quote unquote. Normal. Whatever that is, I think what that means is Oh, I don't know. Eating inside a restaurant, maybe showing up in Queens and a Mets baseball game, maybe going to a bar or a nightclub on a Friday night, and Governor Andrew Cuomo at least yesterday intimated Bernie that That type of stuff, Maybe right around the corner. Yeah, he did a zoo matter fact. Tomorrow, he's going to make an announcement. Maybe he might dictate our money along with New York City to have 25% people in the restaurant 25% capacity of Maya. Nice guy or what? What's the matter with you The meantime? All those so money? Those guys, We're out of business already. It doesn't matter, Right? And 25% again is a pittance. Why are they being targeted New York City? In particular again, 50% or all around the state. New York City very low. Long Island has the highest positivity rate 50% dining on Cuomo yesterday said something really stupid about incompetence, and it just looked like he said. This with a straight face. I mean, no self awareness to use a term does your Listen to him. We were ambushed like no other state and again, it was from federal incompetence. Incompetent government kills people. Incompetent government kills people. More people died than needed to die in covert. He's right. That's the truth. Well, you did it. Is he kidding, though? I don't know. It's unbelievable. But you know when you when you continue Bernie to go out there and blame somebody else. And you get book deals and Emmy awards and all these things you really start to believe that you are not a part of the problem. I really believe that he thinks he was not part of the problem. I I really believe that he's pays. Pathological is what he is. He's a pathological murderer, Governor Cuomo and by by the way off a thug wannabe, really listen. I mentioned that the Long Island where I live, has the highest positivity rate. I think it's almost 7% the state really relatively doing well. But Long Island again and listen away. He just sort of, you know the way he leans back, and he it sounds like he's threatening Long Island. Listen to him Positivity Long Island 6.8. Long Island, Long Island, Long Island. Ah! All the numbers are down across the state. So then we focus on whose highest obviously Long Island Long Island long what am I going to do with Long Island? What am I gonna What am I supposed to do? A long island, huh? I got a target. These people, right, doesn't it? I got no choice. My my head's a tied down his brother of a house on Long Island Shelter Islander. That's right. Chris Cuomo. Yeah, Fredo has a house out there. That's like shelter Island, as a matter of fact, that particular Yeah, well, yeah. I mean, it's about blue either way, whatever, Long Island So what? 6.8% we've done well. It's all coming down. Just relax. The vaccines. You know they're going to the new supplies are on the way. I think they supposed to get 30% more than was originally anticipated Build. The Blasio told us that yesterday because Joe Biden said a couple of days ago we may not get the help we need until the spring. But the bar's you'll give us a more positive message Yesterday, he did, and Johnson and Johnson the other one shot that's about to come out and also AstraZeneca. You know, really de Blasio made one very good point. Believe it or not yesterday. He said that the president should invoke the Defense production act to force companies like say, merc to make the vaccines that Fizer and Johnson and Johnson are making make make all these companies make the successful vaccines, the ones that aren't doing anything and get the production up and build the blossom of all people said that somebody had to tell him. It's a brilliant idea, but that's what should be done. It's common sense really right. Every single company should be making these vaccines. Buddy, say it, Though. I heard building blocks. He'll say it yesterday. I almost fell off my chair. So now we gotta go back now. He's not the worst player of all time. No, he's now we're gonna miss you May I mean he could climb the Empire State building, grab a plane out of you know out of the sky and successfully bring it down to the ground When nobody hurt he'd still be the worst mayor time. Walter can't argue 1 804 8 w A B c 1 800 848 92 22 Bill O'Reilly stopping by today..

Long Island Long Island Long Island Robin Hood Governor Andrew Cuomo New York City Gamestop shelter Island Chris Cuomo Bernie Empire State building Melvin Capital Scaramucci David Reddit Rebecca Emmy Tom Jones Mets Johnson
Redditors took on hedge funds over GameStop stock and won. So what now?

All In with Chris Hayes

05:26 min | 6 months ago

Redditors took on hedge funds over GameStop stock and won. So what now?

"Video game retailer. That's not doing business. Right now just toppled in value on friday. Game stop was worth forty three dollars a share and a bunch of people got together on read it on a message board called wall street bets and they just decided. Let's buy up game. Stop stock and push prices higher and higher now a sheriff game one three hundred and forty seven dollars. Those read it. Based investors made lots of money they have also up ended the entire stock market and bled dry a bunch of hedge funds so much so the white house and treasury now monitoring. What's going on erin. Griffith is also monitoring. What's going on as a reporter for the new york times and she joins me now a aaron. Can you explain. I the origin. There's so there's a reddit thread where people talk about. Trading on wall street stuff called wall street bets is that right right and has about two million users i think and it's not just unrooted. They're also lots of other places on social media where people are gathering talk about stocks. Obviously out there on twitter there on dischord channel which actually shut down today for reasons that are unrelated but the mets people getting together and talking about stocks and it's become extremely popular in the pandemic because While there's no sports the worse there's not a lot of gambling. People are bored and so robin hood which is a stock trading app that has a mission of democratising investing has become extremely popular over the last year. A lot of people are day trading. Now right to robin was. Yeah so basically that. That's where it started right so you can get other robinhood app and thousand dollars or five hundred dollars or you don't have to have some huge amount of money right. You go on this board now. The origin of this as i understand it was it was kind of a troll and it was a troll directed at a bunch of hedge funds had made what's called shorts. They were betting the game stopped. Stock would go down. because it's business looked imperil. does that. is that how it worker started. Yes yes basically A lot of red investors have some kind of vendetta against shortsellers. I'm part of this comes from elon. Musk tesla is one of the most shorted most bet against stocks. And he has. This kind of say is very anti short-selling and So there's kind of manipulation that you can do where if the stock goes way up the short seller's hedge funds that are betting against the company betting on its docks no down. They get squeezed and the higher. The stock goes the more you know. The more the more money they're losing it can become really ugly for them and so they have the the traders know this and they kind of turned it into a game. This is the first time happened before of till ray. Which is a cannabis. Had that happen to them before. But it's definitely the first time it's happened at this scale right so that's interesting. I don't think i that elon. Musk doesn't like shorts. And a lot of people that run companies don't like shorts because what shortsellers do is say we bet on. You're gonna you're doing bad and our selves can drive your stock down. So they go and they look at this stock game. Stop that a lot of wall street hedge funds and said you're in trouble. We're going to bet against you. And they were like we'll take the other side of the bet. We'll rally to rescue the day game. Stop stock and am i right that there's like multiple hedge funds that have now lost billions of dollars on this. I don't know how many have have lost and how much. But there's there's definitely. At least one hedge fund. Melvin capital that had to take a three billion dollar bailout a from a fellow fund over rumors that by the going out of business. They denied that anyone who is short on the stock shorting. A stock is extremely risky. And so anyone who had that position is is definitely hurting right now and tweeted about drawing more attention to it in now all this news coverage the fact that the stock was halted nine times yesterday. The trading was because of so much volatility is drawing more attention to it getting more people sort of rallying in this area absurd mischievous game. So here's what i don't quite get like. At a certain point. I guess this started to get momentum of its own because it doesn't seem like the number of people who've downloaded the robin hood app and are on this reddit. Thread kinnock possibly account for the volume. That is pouring into this stock. Yeah i think. That's a good point. And i think a lot of people are sort of framing like oh this is the little guys rising up against the evil hedge funds and i mean that is worth noting that the hedge funds are also in wall street. Beds there look. They're following this. They're looking at what people are doing. And there are definitely enough people who are day trading on robin to to kind of move. The market share significant are move the market cap significantly of small or thinly traded companies. So big investors are following this now too. I mean you saw a who's very prominent. Silicon valley investor. Tweet that he was following it to i. There's probably some some big money playing in this alongside the read the verdict

Musk Tesla Griffith Erin Robin Hood Treasury The New York Times Mets White House Aaron Elon Melvin Capital Robin Twitter Kinnock Reddit
GameStop Stock Soars as Reddit Investors Take On Wall Street Bets

Squawk Pod

07:17 min | 6 months ago

GameStop Stock Soars as Reddit Investors Take On Wall Street Bets

"Stop the video game retailer. Stock has rallied over six hundred eighty percent this month and in the last couple of days the stocks volatility has pretty much everyone talking. So what's going on. First of all game stop is for the average mall going consumer dying brand a relic of simpler times when we used to have to physically go to the store and wait in line for the newest call of duty or for the latest harry potter book. So it's no surprise. That game stop has been a target for wall street shortsellers its demise has been foregone conclusion. So short and game stop. That is betting that game stop would continue to. Depreciate could have been a good bet except short-selling is risky and your losses if you lose that bad or basically limitless since there's no cap on how valuable the company has bet against could become so even riskier if stock you've shorted starts going up. You can essentially cut your losses without getting too in the weeds market mechanics here. When a lot of short seller's designed to cut their losses on a shorted stock. That's now suddenly going up it triggers. What's called a short squeeze. Demand goes up. Supply goes down. Price goes up more shortsellers. Try to cut their losses. It's a vicious cycle and one that can result in massive losses for their shortsellers and giant prophets for those who've invested in the stock on the way up which is when a popular reddit. Forum called wall street bets figured out that game stop was the most shorted stock in the us markets. It wasn't hard to convince reddit users in the forum to buy up enough stock in game. Stop to trigger that short squeeze making retail investors of bundle and sticking it to the wall street big guys in the process. This was all encouraged in many ways by high profile investors with a hefty social media presence. Jamaa only petia tweeted that he'd bet on the stock increasing himself cameron winkle voss of the winkle vi- suggested he might go along on the stock and must only tweeted that he was aware of the situation just aware of the situation in game. Stop took off again. In after hours. Trading and to wall street bets credit. The plan worked amid game. Stops rally shortsellers on wall. Street have accumulated over five billion dollars in losses year to date and that includes nine hundred million loss on monday and one point six billion lost on friday. As you're about to hear hedge fund. Melvin capital took an enormous loss on the bet so much so that rumors of bankruptcy were swirling on that wall street. Bet sub reddit. But the founder of melvin told our own andrew ross sorkin. The rumors aren't true. Here's andrew now some breaking news this morning on this game stop story. We've been reporting all morning. Having talked to gay. Plock into runs. Melvin capital gay. Plotkin saying that. Melvin capital has been out closed out its position in the stock force. That company was Firm i should say with short looks like lost a ton of money but short that company up through Before the end of the close yesterday but Gabe saying that They got out yesterday afternoon. Of course the question is what happens now. Game stop a game. Stop shares Melvin capital had to take in an additional close to three billion dollars in new capital citadel. Coming to the rescue along with point seventy two. This is a remarkable saga With game stop so many of these investors no really no longer really investing on the fundamentals of what's happening against up but more just continue to push up the stock and we've seen so many folks like you on musk. Go take to twitter about it. Chihua- polly fanning the flames. So there's a lot of fan fan. Flame fanning taking place right now big questions about regulators where they are what they should be doing a lot of criticism and critique online as saying that if you think manipulation what do you think wall street is doing everyday to us the retail investors so. There's a sort of a pop psychology dynamic at play. And i think we're all we're all learning and try and understand what it means but also what it means in the future for the ability of retail investors to get together on places like read it and other places Form an army of sorts and try to push up The stocks in in certain cases like this. So i'm at a loss for words. Joe i really am where are the regulators and is this just the beginning situation. We all do have a lot to say on this but you you obviously have a lot to san. That's interesting but obviously the plane with the calls. And you're you're seeing calls that are one hundred dollars out of the money going for nineteen dollars and things that you've got markups going from two billion to twenty five billion. Obviously everything you're saying we understand. This is this is a game obviously and these guys. When i put five dollars on a ncaa game that. I don't care that much about that's the same as jemaah putting a couple of hundred grand on some calls or lan or any of the guys were talking about this. I think it's kind of responsible. The kind of laughing about it laughing all the way to the bank. But you know there are market makers that have to take. How'd you like to be short some of these calls. Can you imagine being short some of these calls. Especially if you're not covering i mean you can lose. You can lose ten times your money. Unlike a regular investment where only lose one hundred percent. I mean this this this makes this makes bitcoin look like t-bills if you think there's speculation and crypto when you when you look at something like and now they're looking for the next mark right they'll find another game stop once they're done with game stop but in the meantime there's gonna be blood all over understand why i understand why elon musk is doing it. He hates the shorts. They've you know he's right. Thinks it's a game where he's playing a game to understand he's playing the game too. I don't understand why tomatoes doing this. I don't understand why the winkle loss guys doing this. I mean this is i. It's nothing about me. Said too much money it and if you if you think people look unkindly at the wealthy at this point like wait till you see what happens with with the retail investor who gets sucked into thing and gets caught in the trap with who can't afford to lose the money like these guys are doing. I'll tell you the thing there. There really is a merry band of retail investors. Out there both already but increasingly and this is what i think even more concerning i spent a lotta time night reporting this out but also spending time on the in some of these rooms there are places people are going out into encrypted rooms onto telegram onto signal where they where they effectively are planning their next raid. Where they're trying to look to say. Okay where can we do. You know who can we take down next. In this case it was capital that they were seeking to take down. That's why i think the news today that they're out maybe potentially a turning point. I don't know. I don't. I don't know what turns this stock back into some kind of a normal

Melvin Capital Reddit Jamaa Petia Cameron Winkle Voss Winkle Vi New Capital Citadel Chihua Polly Fanning Andrew Ross Sorkin Harry Potter Plotkin Melvin Gabe Andrew
"melvin capital" Discussed on Bloomberg Radio New York

Bloomberg Radio New York

06:02 min | 6 months ago

"melvin capital" Discussed on Bloomberg Radio New York

"Bloomberg 11, 30 to Washington, D. C. Bloomberg 99. 12 Boston Bloomberg, one of 61. This in Francisco Bloomberg 9 16 to the country, Sirius XM, gentle 1, 19. And around the Globe, The Bloomberg Business Hat and Bloomberg radio dot com. This is Bloomberg Markets. This half hour. We're going to take it with Kathy Burton Bloomberg Hedge fund reporter on Reddit traitors of bludgeoning Melvin Capital and Warning to Wall Street on Danielle DiMartino booth of Quill Intelligence will give us a preview of what we should expect from the FOMC decision and news conference. Now let's get a Bloomberg business flash from Greg Harris. Money. The S and P is headed to its biggest decline in three weeks after cutting its losses by about half earlier that speculation the Fed will make a dovish comments and news conference later this afternoon. Take a look at the numbers right now. The S and P is down. 1.5% down 56. The Dow's down over 1% down 333 and the NASDAQ is down one of the quarter percent down 171. The 10 year is up. 7 30 seconds. The yield 1.1% West Texas Intermediate crude oil is up 1% of 53 12 of Barrel comics. Gold's down a quarter of represented 18 50 60 announce. Valerie in 10406, the euro dollar 2099, the British found a dollar 37 03. It's the day traders versus the short sellers. Short sellers are getting the dirty end of the stick game stops. Brief taking a set showed no sign of slowing today. Now up nearly 150% on the day. That's a Bloomberg business Flash on Gregory. This is Bloomberg Markets with Paul Sweeney and Bunny Quinn on Bloomberg Radio. Gamestop Touchy roll AMC Entertainment. One of these three names all have in common besides trading higher High short interest and they are getting moved higher in a significant short squeeze that we haven't seen in some time. Some has got to be losing money. On the other end of that trade. It turns out some of the big hedge funds on Wall Street are in that camp to bring us a story. Kathy Burton, Hedge fund reporter for Bloomberg News, joins us here, Kathy, who is Melvin Capital? What is Melvin Capital and what's their role in what's happening in some of these names? S O. Melvin Capital is a firm run by gate. Plotkin. He was very, very successful trader who came out of work with Steve Cohen for almost a decade. And he has been sort of the center of the whole battle between we called the red it grows and the professionals For some reason. About a few months ago, they started targeting Gates portfolio and they were shorting. Today We're going along a lot of the stocks he was shorting, including In shop. Yeah. I mean, Cathy, why gave in particular you know, he's easy. He's a young guy. He's very successful. There are many people out there that have had a lot more attention in the media and other places that might have Drawn the ire of Reddit Bro's sort of more obviously on yet, didn't they might have drawn the ire of other market participants, but not the red Oppose what gives with Gabe? I mean, he's very successful and He had the backing of as you say, as a C capital. He even got people to help shore up the hedge fund, most recently when it was under attack. Yes. So no one really knows for sure. But it seems that unlike a lot of hedge funds Gabe. Didn't use over the counter puts when he was shorting some stocks. And so if you looked in his regulatory filings, you could see that he had puts on certain companies. And so it was in republic what he was doing. And so that's the only explanation that anyone could really come up with, for why he became a target and also because he's a pretty known to be a pretty Aggressive short sellers, so hey, had some pretty chunky positions. What's the status of movement capital right now, Kathy I think that the infusion of capital um um Steve Collins 0.72 from 10 prisons. Surgical has helped. The firm has really shorted up. It seems that they covered We know they've covered game shop and they've we dig the portfolio a bunch so It seems like they're they're in an okay position. Although we did hear that through yesterday, they had their losses. Head increase 20% that we reported. Yeah, I mean, it live in a free Friday difficult couple of quarters for Milton Capital. Any idea what his other positions are what his lungs might be? No, we don't really have. Ah, A lot of insight. Leo the last filing, Lee, huh? Um, it's from the third quarter. So that's quite a little while ago and these guys don't change around the portfolios. Any other hedge funds that have been kind of targeted or do we know that maybe have had some You know, poor performance as a result of kind of what we're seeing in some of these names. Uh, nowhere. We're hunting or center of that right now. We haven't heard. Um ah lot of names, although he suspect that Have definitely be people that at the end, the month got got hurt. Any. I mean, I'm just throwing out this and you know I don't want to be Wild in my theorizing. But is there any anyone out there saying that perhaps there's an army of reddit ER is that air actually sort of market participants that are regular market participants, but that are sort of stoking the fires in the flames in readies itself. Um No one knows for sure, although it does sort of make sense that there could be people..

Bloomberg Bloomberg Markets Kathy Burton Bloomberg Hedge Francisco Bloomberg Boston Bloomberg D. C. Bloomberg O. Melvin Capital Bloomberg Radio Bloomberg News Melvin Capital reddit Kathy reporter Sirius XM Milton Capital Kathy Burton Fed FOMC
"melvin capital" Discussed on KSRO

KSRO

01:32 min | 3 years ago

"melvin capital" Discussed on KSRO

"Available in, other states like New Jersey and Delaware and spreading and casinos you can bet everywhere will Start taking bets on NBA games in that season starts later this year Yep CNBC's Tom Busby at twenty three after Nintendo had strong earnings reports and robust sales figures for their video games and switch gaming. Console but cherise fam- explains investors are still wary after the company's stock took a. Bit of a tumble yesterday Don't report it bumper earnings operating profit was up nearly ninety percent and yet the stock is dropping. Shares in intendo caused down two percent on. Tuesday part of the reason reports that a US. Hedge fund has taken a massive bet against the company, Melvin capital short almost, one point two million shares that's about a four hundred million. Bet against intendo and intendo has been on a tear for the last few years. The switch gaming console has been hugely popular blockbuster sales. For the, switch was the main reason Nintendo pulled in more than a billion dollars. In profit its last fiscal year but now analysts are warning about a decline in swift sales aunt Nintendo. Failed. To, deliver any big news at the three gaming expo last month so now investors are so fired up about Nintendo anymore Melvin capitals, massive short position is going to help matters since a peak in March Nintendo shares are down more than Twenty five percent cherise fantastic on her head it's now twenty four after. When America in the morning returns.

Nintendo Melvin capital intendo Tom Busby CNBC NBA New Jersey US Delaware America Twenty five percent billion dollars ninety percent two percent