Robinhood Curbs Trading of Reddit-Driven Stocks, Prompting User Outrage

Robinhood Markets and Interactive Brokers Group Inc. curbed trading in stocks including GameStop Corp. and AMC Entertainment Holdings Inc., prompting outrage from users who had pumped up the shares in a Reddit-inspired frenzy.

Robinhood, which attracted millions of new users last year as individual investors poured into the market during pandemic lockdowns, restricted transactions on those stocks and others, the brokerage said Thursday in a blog post. Interactive Brokers said it wouldn’t allow clients to take new options positions in names including AMC, GameStop and BlackBerry Ltd.

By Bloomberg