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Context:
- Gill was able to use a picture of his recent purchases to convince investors to invest massively in
GameStop .-
According to the screenshot that Roaring Kitty shared on Reddit, he bought 5 million shares at
$21.27 . - The image also includes 120,000 call options. Each option gives the right to buy 100
GameStop shares byJune 21 at$20 each.
-
According to the screenshot that Roaring Kitty shared on Reddit, he bought 5 million shares at
-
This is the second time in a few weeks that Gill has talked
GameStop's stock price upward. In mid-May, he had also published several tweets insinuating that he would once again set his sights onGameStop . In just a few days, share price had risen nearly 200 percent to$48.75 onMay 14 , a day after Gill's first tweet in nearly three years. In the days that followed, the stock lost ground again.
Price manipulation investigation
In related news:
- According to the
U.S. news site, the influencer is also in the crosshairs of the stock market watchdogSEC . -
The
Wall Street Journal sources say the broker is concerned about the consequences of a possible ban of Gill. That could provoke a reaction among Gil's fans, resulting in a decline in customers.- Remember:
ETrade is one of the largest brokerage platforms in theU.S. , with 5.2 million retail investors as customers.
- Remember:
Noted: Shortly after the
Roaring Kitty before
Recap: This is not the first time
- After the price explosion of
GameStop , and several other meme stocks, at the start of 2021, MassMutual, an insurer and former employer of Gill, had to appear in court. According to the suit, the financial institution did not adequately supervise the trading and online activities of Gill and other agents. A settlement was eventually reached in which MassMutual paid a$4 million fine. -
In addition, Gill, along with the CEOs of mobile broker RobinHood, among others, had to testify before the
U.S. Congress . During the 2021 rally, some leveraged funds ran into trouble. They were forced to sell their short positions, resulting in huge losses.Melvin Capital was the biggest loser at the time. That fund saw more than 50 percent of its value go up in smoke in January.
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