KX Conversation: Rep. Kelly Armstrong on Robinhood’s decision to block users from buying shares

Local News

In less than a year, the stock for video game retailer GameStop jumped from less than $3 a share to almost $350.

Here’s what happened.

All last year, GameStop was struggling — its stock selling at less than $20 a share.

Big Wall Street investors saw an opportunity. They started “shorting” the stock, betting the price would drop.

If it did, they would make money. But if it rose, they’d take a loss.

That action angered small investors who used the social media platform Reddit to encourage others to buy, driving up the stock price dramatically and creating huge losses for those big-time Wall Street investors.

But on Thursday morning, the stock trading app Robinhood halted trading on GameStop stock.

Rep. Kelly Armstrong, who joined us for our Jan. 28 KX Conversation, takes issue with Robinhood’s decision to cut off customers from trading. We discussed why, how what’s happening in the stock market is unusual and if he thinks this incident should lead to new regulation of Wall Street.

See More

Copyright 2021 Nexstar Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Recent Videos

Minot State Basketball

Class B Basketball

High school basketball

Nationwide ammo shortage hits ND

Game warden scholarship available

Special Wishes 4

WDA Swimming

Rep. O'Brien releases statement

FNF pt. 1

FNF Pt 2

The Meeting Space

KX Convo: Tigirlily

Friday, February 26th, 2021 - KX Storm Team Evening Forecast - Dave Holder

New England Growing

Black History Wrap-Up

Thank a Resident Day

KX Storm Team Full Evening Forecast w/Tom Schrader 2/26

Wrigley Stepping Down

Drug Bust

Year in Parks

More Video

Don't Miss

More Don't Miss

Latest Stories

More Local News