Treasury Secretary Janet Yellen will host a meeting with top federal regulators later this week to address recent market volatility spurred by so-called “meme stocks,” Reuters reported Tuesday night.
Yellen will meet with the heads of the Securities and Banking Commission, the Federal Reserve, the Federal Reserve Bank of New York and the Commission for the future trading of goods, according to Reuters.
A Treasury spokesman told Reuters that Yellen would seek to discuss “whether recent activities are in line with investor protection and fair and efficient markets,” adding that the meeting could take place on Thursday.
Last week, the SEC said it was monitoring trading activity and was ready to take aggressive enforcement action.
Shares closed sharply higher on Tuesday, while shares in GameStop GME,
and AMC Entertainment AMC,
– two of the most traded stocks in the last week – sank. These two sharply shortened shares, along with others, including SI00 silver futures,
We have seen wild trades in recent days, which have been encouraged by online discussions, especially on Reddit.
Coming from the worst week of losses in October, Tuesday’s gains in the market reassured some Wall Street experts.
“They feared that the GameStop trading frenzy would spread to the wider market. that doesn’t seem to be the case, ”Michael Reynolds, an investment strategy officer at Glenmede Trust, told MarketWatch in an interview. “It is a return to the same market factors. Fiscal stimulus and vaccine progress continue to be the back wind. ”