Trump's SEC Chair has argued SEC should halt trading in GameStop, $GME

Trump's SEC Chair has argued SEC should halt trading in GameStop, $GME.

In an interview with CNBC on Friday, former SEC chair Clayton voiced his concerns about the recent surge in stock prices of GameStop and AMC. Clayton suggested that the recent stock surge resembles gambling more than trading or investing.

“It bothers me. It bothers me on many levels…It is a lot closer to gambling than it is to trading and certainly not investing,” Clayton said in the interview.

He also raised doubts about the reliability of social media posts, especially tweets, as investment advice.

“Is a tweet really investment advice? I think we’ve learned the last five, six, seven years that a tweet is really never investment advice,” he added.

On the contrary, CNBC’s Mad Money host, Jim Cramer, expressed his belief that the new meme stock rally is unlikely to slow down, with both GameStop and AMC poised for another strong session. Cramer suggested that both companies could leverage the stock surge to raise capital through public offerings.