Regulatory Change May Revive Meme Stock Volatility
A recent rule change by the U.S. Securities and Exchange Commission, eliminating the pattern day trader rule, has led to a resurgence of volatile trading by individual investors. This has fueled sharp price swings in speculative stocks like Allbirds and Avis Budget Group, reminiscent of past meme stock frenzies. The April rally in risk assets, partly driven by an Iran ceasefire, has further emboldened retail traders.
Tickers: $CAR
Topics: Market volatility Meme stocks Pattern day trader rule Regulatory changes Retail trading