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Gamestop Frenzy Investigations

Financial press sources are reporting that the Justice Department’s fraud section and the U.S. attorney’s office are seeking information about the activity from brokers and social-media companies that were hubs for the trading frenzy.

Last week we posted that the SEC and prosecutors would open investigations into the trading in Gamestop and AMC, and now they have. Prosecutors have subpoenaed information from brokers such as Robinhood Markets Inc.

The WSJ is also reporting that the Commodity Futures Trading Commission “has opened a preliminary investigation into whether misconduct occurred as some Reddit traders targeted silver futures and the largest exchange-traded fund tied to silver, the iShares Silver Trust.”