Treasury Secretary Janet Yellen to convene meeting of regulators on GameStop volatility and requests ethics waiver


Outgoing Federal Reserve Chairman Janet Yellen holds a press conference after a two-day Federal Open Market Committee (FOMC) meeting in Washington, United States, December 13, 2017.

Jonathan Ernst | Reuters

U.S. Treasury Secretary Janet Yellen is calling a meeting of leading financial regulators this week to discuss market volatility induced by GameStop retail and other stocks.

Yellen will summon the heads of the Securities and Exchange Commission, the Federal Reserve, the Federal Reserve Bank of New York and the Commodity Futures Trading Commission, a Treasury official said on Tuesday.

Yellen has asked ethics lawyers for permission to do so, according to a document seen by Reuters.

Yellen’s decision to seek the waiver follows a Reuters report that due to speaking fees she was paid by a key player in the GameStop saga, the hedge fund Citadel, she may have to apply for an ethics waiver to do this.

The Treasury official, who declined to be identified by name, said the meeting would be called this week and possibly as early as Wednesday.

“Secretary Yellen believes market integrity is important and has called for a discussion of recent financial market volatility and whether recent activity is consistent with investor protection and fair and efficient markets,” Treasury spokeswoman Alexandra LaManna said in a statement to Reuters.

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