hippy-
manipulation
I think that is bandied about too much. I feel some have taken advantage of the weakness of the infrastructure but I think it volumes that have strained the system.
I believed that Robinhood and the small brokers didn't have the collateral to settle over the weekend as DTC (who holds the physical shares) upped its requirement from 2% to 100% due to volatility and the risk of overselling and misselling. This cant be the clients money, it needs to be separate (ring fencing).
Someone with more know, plz correct me.
I don't know why IG would restrict it. IG is huge and has the funds.
I can only hazzard a guess and say there was mistakes and the hold was to allow the correction.
If I'm right this is the first time in recent history this has happened. I'm not sure our archaic controls were up to the task.
Anyone is settlements or such on here have a better explanation?
Edit: from IG
We have also made the difficult decision to temporarily suspend new trading on GameStop and AMC Entertainment. We fundamentally believe in empowering our clients and enabling them to trade what they want, when they want, how they want. This decision has been entirely motivated by our desire to ensure our platform and services remain fully operational for existing clients, as we prioritise giving you the best service we can.I guess this is the equivalent of a DDOS attack but on the platforms.
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ChainBreaker
Also, with brokers preventing retail investors buying, it's allowing some short positions to be closed.