Treasury Secretary Janet Yellen has called for a meeting of the nation’s top federal regulators in response to the Reddit-driven turbulence on Wall Street.
The summit is expected to include regulators at the Securities and Exchange Commission, the Federal Reserve, the New York Fed and the Commodities and Futures Trading Commission (CFTC).
“Secretary Yellen believes the integrity of markets is important and has asked for a discussion of recent volatility in financial markets and whether recent activities are consistent with investor protection and fair and efficient markets,” a Treasury spokesperson said in a statement.
The meeting is expected to occur this week, according to a Treasury official.
An army of traders on Reddit sent GameStop (GME) shares spiking last month, causing massive losses for hedge funds that had bet against the company. The ripple effects helped drive US markets sharply lower last week.
That trend has reversed this week, with GameStop tanking and the broader markets rebounding.