U.S. lawmaker says Robinhood decision to bar some retail stock purchases 'unacceptable'

WASHINGTON (Reuters) - U.S. Representative Alexandria Ocasio-Cortez on Thursday criticized the decision of online trading platform Robinhood to restrict retail trading in shares of GameStop and other companies that have seen dramatic gains this week attributed to social-media driven trading. Ocasio-Cortez said the move was 'unacceptable,' adding Congress needs to know more about Robinhood's decision 'to block retail investors from purchasing stock while hedge funds are freely able to trade the stock as they see fit.' She said the House Financial Services Committee investigation should not be limited to Robingood but 'should examine any retail services freezing stock purchases in the course of potential investigations - especially those allowing sales, but freezing purchases.' (Reporting by David Shepardson; editing by Doina Chiacu)

Reuters January 29, 2021 00:05:41 IST
U.S. lawmaker says Robinhood decision to bar some retail stock purchases 'unacceptable'

US lawmaker says Robinhood decision to bar some retail stock purchases unacceptable

WASHINGTON (Reuters) - U.S. Representative Alexandria Ocasio-Cortez on Thursday criticized the decision of online trading platform Robinhood to restrict retail trading in shares of GameStop and other companies that have seen dramatic gains this week attributed to social-media driven trading.

Ocasio-Cortez said the move was "unacceptable," adding Congress needs to know more about Robinhood's decision "to block retail investors from purchasing stock while hedge funds are freely able to trade the stock as they see fit."

She said the House Financial Services Committee investigation should not be limited to Robingood but "should examine any retail services freezing stock purchases in the course of potential investigations - especially those allowing sales, but freezing purchases."

(Reporting by David Shepardson; editing by Doina Chiacu)

This story has not been edited by Firstpost staff and is generated by auto-feed.

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