White House ‘monitoring’ GameStop share surge as US hedge fund pulls out

Melvin Capital Management had bet on failure of store before small investors sent shares soaring

• How GameStop found itself at the centre of a battle between Wall Street and small investors

The White House has said it is monitoring" the extraordinary surge in the share price of the ailing video games retailer GameStop and other companies amid a surge of bets by small investors discussing their investments online.

Wednesday's announcement by the press secretary, Jen Psaki, came as the Treasury and the Securities and Exchange Commission said it was aware of and actively monitoring the ongoing market volatility in the options and equities markets".