February 3, 2021
Lawmakers to look into 'who wins and loses when short sellers, social media, and retail investors collide.'
SHOW TRANSCRIPT
The GameStop trading frenzy quickly captured the world’s attention, and theories abound as to what exactly led to this moment. But it’s still not clear how the Reddit Revolution is going to end.
"The whole thing started because somebody disagreed with the sell-side research and 'prevailing wisdom,'" said Mark Abssy, head of indexing at Tematica Research.
Days after the short squeeze took off, the founder of Citron Research announced his firm would stop publishing research on companies it believes are overvalued. In the same way you can make money when a stock goes up, you can profit when a stock goes down — also known as short selling.