If you’ve been following the GameStop stock saga — which is what I’m calling it but it’s really a stock market saga involving a bunch of companies and some investors on Reddit who are driving prices up all over the place — you know the latest chapter was investment app Robinhood restricting trades of certain stocks, including GameStop.
That might have led to the already huge price of GameStop dipping a bit on Thursday, but still at pretty extraordinary values.
But now there’s some reports about what’s next for Robinhood: per the New York Times, it raised $1 billion from its investors after all this “activity [that] has put a strain on Robinhood, which has to pay customers who are owed money from trades while posting additional cash to its clearing facility to insulate its trading partners from potential losses.”
Now, CNBC reports that Robinhood “said it will resume limited trading of previously restricted securities” after that influx of cash.
And that, in turn, sent pre-market prices of GameStop shooting up:
GameStop shares shot up 75% to trade at $339 in premarket trading, after closing down 44% to $193.60 during regular hours Thursday. The stock’s high for the week is $483.
The site also reports AMC and Bed Bath and Beyond — among the other stocks targeted for similar reasons — are up before the market opens on Friday morning.
So … this madness continues.
