This week were amused by the news that some plucky amateurs had taken on the hedge funds and stuck it to them causing a couple to actually get into considerable financial difficulty. An in-depth discussion of what a hedge fund is can be found here but simply put one of their functions (besides the making of money) is ‘shorting’ or making bets on companies failing. One such company was Gamestop, a physical retailer of computer games (we’re not sure why such a company still exists in 2021 but there you go). Essentially the hedge funds bet that their stock would fall and that they would make money off the back of that. A group of Reddit users bought loads of stocks and shares inflating the worth of the company beyond all reasonable measure thus causing the hedge funds to lose considerable amounts of money. It got to the stage that stock buying apps like Robinhood actually had to suspend the buying of Gamestop stocks to save the rich guys arses. Other than providing the rest of paupers with a good laugh it turned out that actually of course the ‘ordinary people’ in the Reddit group weren’t actually bus drivers and nurses but people well savvy with the complexities of the system, but also many were associated with extreme right capitalist groups in America (although we’re tempted to believe that might just have been a ‘blackwashing’ of things). Also, of course, money goes to money so where a hedge fund collapses another two or three profit form that in a sort of capitalist dog eat dog way. Looks like we’ll have to wait a bit longer for the financial revolution. Oh well – it was fun while it lasted…
Pick of the Political Pops: Hank Williams Jr. “Stock Market Blues”
