the securities and exchange commission defines a penny stock , something small investors may want to ecause it has a highly speculative business model and the markets are saying watch out for this. they are saying that anything that trades below $5 a share. now, look at that, liz. that's how many trading, how many penny stocks trade on the gold standard of listing venues, the new york stock exchange and nasdac. they are listing penny stocks. gme, gamestop, was a penny stock this summer for a long time. it wasn't a $500 stock but if you look at the chart look at the flat line chart it was a penny stock for a long time, traded on the new york stock exchange. so, what does that mean? i will tell you this that i know that the securities and exchange commission, this has been brought to their attention, that both major exchanges list these penny stocks on the exchange, which allows them to be traded, so long as they're listed they could be traded on robinhood and elsewhere and that has been brought to their attention as one of the sort of root causes of the trading frenzy that let's be cle

was head of the russia investigation and his wife was actually being appointed to the security and exchange commission powerful division within the security and exchange commission. she has been there since 2008. when not saying she isn't worthy of an appointment but it appears really bad on that one. it's a lot of concern. there's a lot of people paying attention to that. another person getting nominated and a very interesting person, samantha powers. she will be going back to the un. her nomination will take her back to the un to the international development division. it is also very important role, a very powerful role, $27 billion worth of federal funding goes into that, but remember samantha powers was involved in the russia hoax as far as unmasking, she also unmasked michael flynn on multiple occasions. she never once answered the question during the hearings and never explained why she was unmasking so many people so much of the time. it's a mystery to most americans, why she was doing that, and now she's being rewarded by being put right back into the un. last but not least is everyone's favo

and the securities and exchange commission should be stepping in and doing their job.e problem we're seeing is the last 15 years, ever since the financial crisis but going through puerto rican bonds, there have been no cops there. there's no one on the beat. so the laws don't seem to apply to the powerful. >> it was interesting how the system, you know, robinhood app and others sort of circled the wagons, if you like, around the hedge funds, helped protect them from these so-called ordinary investors. you got to wonder why that is okay. and to your point, senator elizabeth warren is calling for an sec investigation. should there be one? >> absolutely. i mean we need a congressional investigation as well. what we need to understand is what is happening in our markets because i think what's important here is to recognize that gamestop is simply one more incident that's taken place over the last 15 years that reflects systemic corruption. and i think that's why people are cheering for the people that are trying to rig the stock to go up. it is still market rigging, right?

. >> you met with regulators from the securities and exchange commission and the federal reserve on thursday about gamestop and other stocks after day traders drove the prices to soar and then crash. your department says that the market, quote, core infrastructure was resilient, unquote. does that mean you think new regulations are not necessary? >> well, the first thing is that we really need to understand exactly what happened, and the securities and exchange commission is working hard to assemble a report that gives us the facts, and when we have them, we can look at whether or not there were issues that need to be addressed through new policy or regulations. we need to make sure the markets function efficiently, that investors are protected, and also that they understand the risks that they face when they engage in trading. and all of that will be reviewed. >> let me ask you, because you made more than $7 million in recent years giving speeches to wall street banks, corporations, industry groups, including citadel, a hedge fund that recently bailed out a gamestop short seller. you must k

the securities and exchange commission is investigating but the president and his team, at least publiclye mum. >> our focus and our big story is getting the american people back to work. >> reporter: back to work with a $1.9 trillion covid relief package. president biden says while he wants republican support, he'll go it alone if need be. >> the risk is not doing too much, the risk is not do enough. >> reporter: republicans are pushing for changes. >> republicans can be there but it can't just be spending $1.9 trillion, pulled out of the air with no justification. >> reporter: with a week to go before former president trump's impeachment trial we learned last night his entire legal team quit, all five attorneys, leaving his legal strategy unknown. chris. chris: david spunt, reporting from the white house. david, thank you. and joining us now, jared bernstein of the president's council of economic advisors. jared, the biggest complaint about the president's $1.9 trillion covid rescue package is that it's just too big. i want to put items up on the screen. you would give $1,400, a $1,400

securities and exchange commission and federal reserve are among those who have been summoned for talksme point this week to examine whether trade has been consistent with fair and efficient markets. there's speculation they could begin talk on tighter regulations, in particular of online brokerage platforms like robin hood which restricted trade of gamestop shares during their rise last week. , church traders -- amateur traders had been pouring money in an effort to squeeze the big hedge funds to bet against the company's fortunes. stock has erased over half those gains this week. closed 2% up in a choppy session today. richard smith, the longtime market water and ceo of the foundation for the study of cycles, told me this could be a turning point. >> there are changes in the game going on. and yet i think there is a lot of things going on behind the scenes that definitely merit closer scrutiny. in terms of healthy capital markets going forward and also a healthy place for the retail investor in the capital markets. >> do you agree with the characterization of last week's trade term ro

he was appointed head of the securities and exchanges commission which is like putting the fox in charge of the hen house. it created a relationship where he became a very close con if i don't ending up as ambassador to saint james. do you want to talk about how that has beened? >> it is an interesting time. i want to go back a tiny bit before that. they are graduating from high school, whoever is the president in that motion i think has a profound impact on them. and fdr is the president as jfk comes of age and through young adulthood. i think it is the nation that is informed by fdr. i think the port of st. james, he has a direct connection. there is a moment when they have a jer man u boat and j.f.k. is asked by his father to look after the surviving u.s. passengers and their families in that transition. so he gets a little bit of responsibility in that moment. so i think it informs his notion of public service. ultimately he goes and signs up to go to war. ultimately being able to be accepted in the navy. and i think to go to war under a president, the only president that you have re

we are also about to consider the head of the securities and exchange commission and the consumer protection bureau. we know what we have to do. this plan is about vaccines and about putting money in the pockets of people. it is about stopping layoffs. we will continue our work on this. the committee is working every day on this during the impeachment and after. we have seen the risk of inaction. we have seen the economic and public health risks of inaction on this virus and we've seen the risk to a functioning government of inaction in the face of the -- of donald trump's encouragement of violence. we can never make those mistakes again. my pleasure to bring forward a senator who is doing his work well and we voted yesterday to confirm the secretary of the v.a. >> thank you, senator brown. i want to thank senator schumer and everybody here today, including the folks i'm looking at. look, in a few short wiles, we will start the impeachment trial . it is critically important we do our job as jurors and hold people accountable who need to be held accountable. for what happened on january 6. to

the securities and exchange commission and fin sent should have been overseeing and inforcing the laws all this time the laws are on the books unit but they don't enforce the laws naked short selling is illegal but they don't enforce the law and that's been the case ever since patrick byrne discovered this in 2003 with his company over stock and he went down this path of trying to sue the wall street banks and try and if sued the f.c.c. for rig knowing what's called reg show sh which is the regulation that's after propre it for this type of fraud that bernanke citadel capital is committing on a daily basis ken griffith gave testimony and basically. had no answers when asked why do you commit this serial fraud he simply stammered and had no answers and i don't expect there to be any repercussions because again if you take fraud away from the underlying american economic model there would be no g.d.p. marks just to fit in maybe as briefly as we can the issue around robin hood the subsequent intervention by the investing out some suggest it was interfere in stopping people from buying sha

well, of course we have a regulator for that, and that's the securities and exchange commission, the nd they have been monitoring this, continue to do so, have been putting out information on it. and from where i sit, have been doing a good job therein. i think one thing to keep in mind is that we get -- we've been talking about the rescue package, the american rescue plan. when we didn't get to the recovery plan, that is a plan, that is a plan that the president has said for permanent measures he believes there should be pay-fors. so some of his very progressive taxation ideas,they will be part of the recovery plan, not part of the rescue plan. jack: we're going to have to have you back. real quickly, can you make a comment on the $15 minimum wage? there's one argument that productivity has so outgrown the cost of living, to you need a federal minimum wage in. >> well, not only do we need a federal minimum wage, but we've had one since, i believe, the 1930s. jack: a higher one. >> yes. when you ignore the minimum wage, it loses ground to inflation because it's not indexed. so $7.25,

president, one of the things he did was he appointed joseph kennedy as the head of the securities and exchange commission which would serve as he said putting the fox in charge of the hen house. then this created a relationship between the two of them in which joe kennedy really became a very close confidant of fdr ending up as the ambassador of st. james. you want to talk about how he managed that in london right before the war? >> well, it is an interesting time. i almost want to go back just a tiny bit before that. as you could imagine when young people are in the age where they're graduating from high school whoever is the president in that moment i think has a profound impact on them and shapes their view of the presidency, and fdr is the president when jfk comes of age and through his adulthood. and i think much of his vision what is leadership and what is the nation is very much informed by fdr. and so i think that's a big part of it. clearly through his father joseph and the posting at the court of st. james he has direct connection to what that service might look like. there is a moment when the

treasury department spokesperson yellen has called for a meeting with officials at the securities and exchange commission the federal reserve the new york fed and the commodity futures trading commission now the discussions are expected to happen as early as this week on monday white house press secretary jens psaki was asked about the biden ministrations position on the issue obviously this is under the.

as tesla announced it purchased $1500000000.00 worth of bitcoin in a filing with the securities and exchange commission tesla's said the move was for more flexibility to further diversify and maximize returns on our cash the company also plans to start accepting payments in bitcoin and in the near future subject to a political laws than initially on a limited basis which we may or may not liquidate upon receipt of the move caused quinta surged to new highs up 2.5 percent in premarket trading alone it reached $44200.00 meanwhile u.s. stocks are also hitting record fresh highs the dow added nearly 200 while the s. and p. and tech heavy nasdaq they all reached intraday high for more on this we're going to welcome back. director of trading research and education for market gauge dot com michelle good to see you as always let's start with tesla here the 1500000000 dollars a big quinn it just purchased now you know.

treasury department spokesperson yellen has called for a meeting with officials at the securities and exchange commission the federal reserve the new york fed and the commodity futures trading commission now the discussions are expected to happen as early as this week on monday white house press secretary jens psaki was asked about the by the administration position on the issue. obviously this is under the purview of the f.c.c. in terms of their review and monitoring but this is there is an important set of policy issues that have been raised as a result of market volatility in recent days and we think congressional attention to these issues is appropriate and would welcome working with congress moving forward as we dig into these for their policy issues p.s.e.c. is looking carefully at recent activities and if they're consistent with investor protection and fair and efficient markets that's where we think the preview is in the focus at this point in time on wednesday the press secretary confirmed the meeting but offered no more cometh from the white house for those unfamiliar with the situation a group

and that investors are protected thursday morning yellen met with officials at the securities and exchange commission the federal reserve the new york fed and the commodities futures trading commission to discuss the situation at time of broadcast no further information about the meetings was available but let's dig into him for more details on this let's bring in tobin smith c.e.o. of transformative research and activity over and c.e.o. of optimist l.l.c. thank you both so much for being here tobin i want to start with you here the treasury secretary was covering bases today while on good morning america when she said she wanted to quote deeply understand what exactly happened here but it certainly feels like this all happened right in front of our eyes did it not i would imagine. you tobin you're very smart man you understand it so in your opinion the regulators actually need to address what happened with game stop. this is the 1st short squeeze that ever happened are you kidding me i mean it's a function of the business number one number 2 if we were like almost every other developed country and h

as tesla announced it purchased $1500000000.00 worth of bitcoin in a filing with the securities and exchange commission tesla's said the move was for more flexibility to further diversify and maximize returns on our cash the company also plans to start accepting payments in big quine and in the near future subject to a political laws and initially on a limited basis which we may or may not like with a upon receipt now the move caused cohen to surge to new highs up 2.5 percent in premarket trading alone it reached $44200.00 meanwhile u.s. stocks are also hitting record fresh highs the dow added nearly 200 while the s. and p. and tech heavy nasdaq they all reached intraday high for more on this we're going to welcome back. director of trading research and education for market gauge dot com michel good to see you as always let's start with tesla here the 1500000000 dollars and because when it just purchased now you know on musk he's been extremely vocal on twitter about because especially as of late could he have used this to kind of prop up the price of a quote for his own benefit we know musk also has b

tesla announced a purchased $1500000000.00 worth of big question in a filing with the securities and exchange commission said the move was for more flexibility to further dire.

securities and exchange commission mentioned the urgent need for clear cap cryptocurrency regulations amid the adoption of digital assets by leading companies like tesla and mastercard that clarity actually coming. i think it is coming and the question is going to be what does it consist of i mean isn't there absolutely needs to be clarity from the f.c.c. on crypto but i would say more than the f.c.c. there needs to be clarity from the i.r.s. on crypto that's a very big deal as well right now you have a lot of investors who are coming in and the question the surrounds big coin it surrounds every crypto currency every digital currency is a question of is it currency the i.r.s. says it's not currency right now believes that if you get paid for instance that say that you know your boss over there at r t america says brett we're going to start paying you in because which by the way would be great if you want to do that but if he were to say to you or us are paying you a bit coin right the i.r.s. would say you're not actually being paid in the currency you're being paid in property that's

regulatory scrutiny on actually what robin hood did here by showing the stone absolutely the securities and exchange commission is very interested in also as well as some of these other government agencies as to why they did that you know robin hood briefly they just said hey everything was rock and roll and so we have to follow along and they said that we had to have so much money in our reserves you know in order to cover some of these processes that were occurring with all this trading and so they said they to temporarily put a halt to it but there's a lot of people that are crying foul for that and so and the feds are looking into that as well whether or not they were legit in that reason for pulling the plug or if they were also trying to do some market manipulation contributor for america's lawyer will keep it on the thank you so much for breaking it down. all right thanks grant. and time now for a quick break but here because when we return cold cases in the u.s. are trending down as vaccination numbers go up we have a vaccine expert on hand to discuss the state of the rollout but back in a flash. imagi

his cases are extraordinary both in private practice and his work with the securities and exchange commissionto bring you this voice on "surveillance" this morning. really honored you could be with us this morning. you did an insider trader thing at the williams court in washington years and years ago. if you were speaking to a body of attorneys today about what is to come in this uproar, what would you say to them? david: i would say that in the wake of this, everyone is looking for a bogeyman, but i think we will find out nothing has really changed. not much was done wrong here. the rules are going to work fine. we may see other examples of this going forward, but i think the market is going to shake out. the small retail traders saw an inefficiency here, saw a window to do something, and they did, and they made some money. but the stock is going to go down. tom: you've been on both sides of the fence, practicing the law. how do you treat the silicon valley tone we get from robinhood and others? how do you handle the behavioral and cultural millennial tone we observe? david: there are very

securities and exchange commission. has recently pushed back you know means if you want gainst the government's current government not if you can do us that took 2 currencies or dangers route for terrorist financing. you know it pushed back on the december last year since then. failed to notice the hook calls rulemaking where banks in money services businesses would be required to submit reports keep reports very fighting identity or customers in relation to transactions above sentence nationals importing cripple currencies additional assets. where their wallets were not hosted by financial institutions or c.b.c. wallets whole cities by us on issues in certain jurisdictions identified by this insane and this would be very onerous new york high and requirements and you see that concern in the recent statements from. the the. current and new. when they were say that they were going to tour they were going to up give some support to talk of currencies but they were concerned in they said you know in their statements there

it is a big question indeed and which, of course, the securities and exchange commission would be lookingmany retail traders and investors would be very anxious but they had their fingers burnt because they may have got into this big wave and followed the herd, as it were, and then seen their speculative position plunge because gamestop shares fell again yesterday. however, they are still at almost 200% higher than before all of this began. i expect the focus for regulators will be on these message boards, on reddit for example, but it will be difficult to prove intent to many late the market because it is not illegal to promote a stock and whether or not they could take action to stop such messages on these boards appearing remains to be seen. we know how difficult it is to monitor social media in this way. monitor social media in this wa . ., ., monitor social media in this wa. ., ., , , way. turning now more broadly to what is _ way. turning now more broadly to what is going _ way. turning now more broadly to what is going on _ way. turning now more broadly to what is going on in - way

this was in order to meet deposit requirements from clearing house registered with the securities and exchange commission but does violence reason past the truth or the chest damage control joining us now is rebecca wiser of water wealth management thank you so much for joining us are back and thank you sunny ok so we are almost 2 weeks since this initial events of kind of i think surprised. everybody but it's specially those on wall street it's been a very strong message to them the story says that has been buried by the mainstream but i know there is action that has been going on in wall st paul boardrooms to make sure this never happened again what are you seeing and has there been any changes made in the short term. well i think right now people are just still in shock that you know there could actually be you know the whole thing with robin hood is that it's a democratization of trading right and so what you have kind of coming together is this spree kind of platform that came together with you know basically social media chat room reddit right and you had 3000000 people on wall street that's a grou

securities and exchange commission is honing social media for fraud and the value stocks of gamestop, amc, and others. bloomberg sources say regulators may be part of an asset to manipulate the market and drive up prices. treasury secretary janet yellen will meet with regulators later today to discuss the recent volatility. protests against myanmar's coup are growing. tightening grip on power, internet service providers to temporarily block access to block facebook. they are charged with violating law for possessing illegal walkie-talkies. global news, 24 hours a day, on air and on bloomberg @quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i am leigh-ann gerrans. this is bloomberg. francine? francine: leigh-ann, thank you so much. now, the bank of england officials meet today to discuss interest rates. the majority of economists expect no change. with the very latest on the market moves, yield curves, and the bank of england is our dani burger. what do you have? dani: francine, we have to keep in mind that today is a different scenario than wh