The "Roaring Kitten", which led American retail investors to speculate on game station stocks in 2021 and staged a retail war against Wall Street spectacle, is back! I made the first tweet after three years, and the content is simple, just a picture:
As a result, in the U.S. stock market overnight, Game Station (GME) ushered in a long-awaited surge, once rising by more than 118%. Due to high volatility, trading was suspended five times during the session.
Who is "Growling Kitten"?
"Roaring Kitty" is a well-known social media personality in the U.S. stock market, and his real identity is Keith Gill. Originally an ordinary person with a modest income, Jill joined Massachusetts Life Insurance Company in April 2019 after two years of unemployment. Jill has been investing in GameStation since June 2019 and continues to post videos and posts that are bullish on the stock's share price.
In January 2021, Wall Street staged a battle of retail investors to force short institutions, and Jill wore her iconic red bandana every day on YouTube live, calling on everyone to buy the stock of Game Station. As a result, retail funds continued to pour in, and the stock price of GameStation soared from around $20 to nearly $500. Many hedge funds and short-selling institutions have suffered heavy losses as a result, and even hedge funds with a scale of tens of billions of dollars can only be forced to close their positions and be blown up by small scatters. In order to fight back against retail investors, Wall Street unplugged network cables, changed rules, and deleted videos...... Until regulators step in.
According to media reports, Jill initially bought $53,000 worth of GameStation stock in 2019 and has since increased his position several times, with his stock worth about $48 million at its peak. But in February 2021, Gill was sued by retail investors for alleged "fraud". The allegations allege that Jill, a securities professional, "falsely claimed" that he was an amateur investor and that he was making a profit by inflating the share price of GameStation, misleading retail investors and causing them to suffer huge losses. In addition, the company he worked for was accused of a lack of oversight of its employees. However, how this case will develop in the future, there is currently no relevant content on the Internet.
In early 2021, best-selling author Ben Mezridge wrote a non-fiction novel based on the story, "Anti-Social Network: Game Station Shorting and Defeating Wall Street's Amateur Rabble", which Sony Pictures later released based on the film, Silly Money. The film will be released in 2023 and starring Paul Dano.
Chinese young people are "up" about saving money, but young retail investors in the United States and South Korea are becoming more and more crazy
In recent years, young people in the mainland have been keen to save money. They have their own strange tricks, not only to reduce expenses, close Huabei, and keep accounts, but also to do "deposit special forces", or to pick up all kinds of wool, "if you can save it, you can save it". In addition to saving money, he also pays more attention to the financial management and investment value of commodities, such as buying gold.
The situation is quite different in the United States, where a report released by the Federal Reserve last year showed that only 63 percent of adults surveyed said they had $400 in cash or equivalents on hand to pay for possible accidents, down from 68 percent the year before. At the same time, in the U.S. stock market in the past two years, retail investors have been fierce.
In the past two years, there has been a new term in the U.S. stock market, MEME, which means retail stocks, and in recent years, it has been jumping up and down. Last night, stimulated by Jill, MEME stocks started to squeeze short again. On Reddit, a well-known forum for retail investors in the United States, there is a "Wall Street Gamblers" group with more than 2 million users. "YOLO" (you only live once) is their creed, "stud by feeling" is the main theme, even if there are retail investors who analyze their heavy stocks at length, most of the replies they get are: "Just do it if you are optimistic, I can't read so many words, I believe you, ALL IN!" Robinhood, an online celebrity brokerage known as the base camp of retail investors, shouted a passionate slogan to further attract retail investors: "Regardless of wealth, income and background, everyone has the right to access modern financial services." ”
The situation is even crazier in South Korea, where 80% of young Koreans aged 20-30 are involved in equity investment, according to the Korea Exchange, and they account for more than two-thirds of the total stock trading volume in South Korea. The reason why most young people fall in love with the risky industry of stock speculation is largely a reflection of the obsession of ordinary South Koreans who want to change their fate through investment, and also reflects the unique social class structure, wealth structure and helplessness of the people in South Korea.
Author: Xu Jinhua
Editor: Yan Dan
Producer: Gu Jie
Sources: Global Times, Phoenix.com, Shangguan, Finance Associated Press, etc
This article is the exclusive content of the WeChat public account of "CBN Broadcasting", please contact the background for authorization before reprinting. The individual stocks involved in this article are for reference only, and are not recommended for trading and are not responsible for personal income.