Reddit Traders Disrupt Wall St., Push GameStop & Other Shorted Stocks

Reddit Traders Disrupt Wall St., Push GameStop & Other Shorted Stocks

Assessment

Interactive Video

Business

University

Hard

Created by

Quizizz Content

FREE Resource

The video discusses the phenomenon where retail investors, inspired by Reddit, drove up the stock prices of companies like Bed Bath & Beyond, AMC, and GameStop, which had been heavily shorted by professional investors. This forced short sellers to buy back shares at higher prices, further increasing stock values. The event highlighted the significant impact retail investors can have on the market.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which companies experienced a significant rise in their stock prices due to retail investors?

Apple and Microsoft

Bed, Bath & Beyond and AMC Theatres

Tesla and Amazon

Facebook and Twitter

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the primary goal of short selling?

To invest in dividend-paying stocks

To hold shares for long-term growth

To buy shares at a higher price

To sell borrowed shares and buy them back at a lower price

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How did retail investors affect the stock prices of companies like GameStop?

By holding their shares and not trading

By selling their shares in large quantities

By buying shares, forcing short sellers to cover their positions

By shorting the stocks themselves

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What platform inspired retail investors to buy shares and challenge short sellers?

Reddit

LinkedIn

Instagram

Twitter

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What was the consequence for short sellers when retail investors bought shares?

Short sellers received dividends

Short sellers were unaffected

Short sellers had to buy shares at a higher price

Short sellers made a profit