By Weston Blasi
The meteoric rise of stocks discussed on Reddit’s WallStreetBets forum — like GameStop /zigman2/quotes/203755179/composite GME -2.31% and AMC /zigman2/quotes/200235402/composite AMC +4.81% — has caused major disruptions in the stock market.
The moves to restrict trading have led to complaints about the lack of free trade going on in the markets. Among those who criticized the move early on were billionaire Mark Cuban and Barstool Sports’s /zigman2/quotes/209264611/composite PENN -1.92% Dave Portnoy.
And politicians of both parties have gone after Robinhood’s decision to restrict trading on stocks like GameStop and AMC — including Rep. Alexandria Ocasio-Cortez and Sen. Ted Cruz.
Robinhood recently created a post addressing the situation.
“Our mission at Robinhood is to democratize finance for all. We’re proud to have created a platform that has helped everyday people, from all backgrounds, shape their financial futures and invest for the long term.”
This week, as both GameStop and AMC stocks plummet, Portnoy said on Twitter /zigman2/quotes/203180645/composite TWTR -1.11% that he sold all of his “meme stocks.”
Mark Cuban hosted an “ask me anything” conversation on the WallStreetBets Reddit page on Tuesday morning where he shared his thoughts on various financial topics including the GameStop craze.
“Thanks for changing the game. Thanks for taking on Wall Street,” Cuban wrote.
He went on to say that Robinhood was the main reason the movement didn’t totally work.
“There was only one thing that messed you all up: RobinHood and the other zero commission brokers that everyone used didnt have enough capital to fund the fight. They let you down in a big way.”
Shares of GameStop were among the biggest decliners , shedding 49% in Tuesday morning trading, after sliding 30.8% on Monday . The second biggest NYSE loser was AMC Entertainment Holdings, which was down 39.5%.
The pullbacks in these stocks come amid a broader market rally, with the Dow Jones Industrial Average /zigman2/quotes/210598065/realtime DJIA -0.41% up over 500 points in early afternoon trading.