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CMC restricts GameStop, AMC short-selling as it turns focus to hedge funds

GameStop shares have fallen more than 34% in intraday trading on 1 February, continuing its marked volatility

The logo of Reddit, a social news aggregation on a smartphone. Retail traders organised themselves in a forum on the platform to overhaul short positions held by hedge funds in beaten up stocks
The logo of Reddit, a social news aggregation on a smartphone. Retail traders organised themselves in a forum on the platform to overhaul short positions held by hedge funds in beaten up stocks Photo: Getty Images

Online trading platform CMC Markets has limited short-selling positions in some of the most heavily-shorted US stocks such as GameStop and AMC, as retail investors continue to plough into trading.

Traders originating from online forum Reddit’s WallStreetBets group have been squeezing stocks such as US video game retailer GameStop since mid-January, as part of a ploy to retaliate against hedge funds taking out major short positions.

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