Massachusetts Democratic Sen. Elizabeth Warren said Thursday that US financial regulators must “get up off their rear ends” and devise new restrictions in response to the GameStop stock-buying struggle, claiming the retail investors involved in the saga were manipulating the market.
An array of left- and right-wing populists cheered the GameStop-buying push as retail investors having an opportunity to compete with wealthy hedge funds that were “shorting” the company’s stock. But Warren said it shows the ease of manipulating stock value.
“This should be a warning bell,” Warren said Thursday morning on MSNBC ahead of a House Financial Services Committee hearing featuring the CEOs of companies involved in the struggle.
“What happened with GameStop is not just about GameStop. It is the warning bell that we have a stock market that is subject to manipulation, a stock market that is not functioning,” Warren said.
“And that’s why the SEC needs to get up off their rear ends and put