Online trading platform Robinhood passed trading restrictions on GameStop Corp. shares late Thursday. and AMC Entertainment Inc. lifted.
“There are currently no temporary limits on how to increase your positions,” the Robinhood website said Thursday evening.
Last week, Robinhood sparked anger – and lawsuits – from some users by restricting trading of 50 highly volatile stocks that had gone heavily short. That list was reduced to eight on Sunday, leaving only GameStop and AMC on Thursday. Earlier Thursday, GameStop had a buy limit of 500 shares, while AMC had a limit of 5,500 shares.
The relaxation of restrictions comes as the massive wave lifting GameStop, AMC and others appears to be crashing amid increasing regulatory scrutiny. After hitting a record high of $ 483 on Jan. 28, GameStop GME is sharing,
was down 42% on Thursday to close at $ 53.50, down 84% this week. AMC’s stock AMC,
is down 47% this week, closing 21% on Thursday to $ 7.09.
Finance Minister Janet Yellen met with key financial regulators on Thursday and promised to protect investors and maintain “fair and efficient markets.”
The highly volatile trading was fueled by online commentators, especially on Reddit, who bought shares in a number of companies to spoil short-seller positions.