BRIEF-Fitch Says U.S. Financial Institutions Face Second Order Effects From Gamestop Volatility

Feb 4 (Reuters) - Fitch:

• FITCH SAYS U.S. FINANCIAL INSTITUTIONS FACE SECOND ORDER EFFECTS FROM GAMESTOP VOLATILITY

• FITCH- NEW MARKET DYNAMICS, INCL. SOCIAL MEDIA'S ABILITY TO RAISE RETAIL INVESTORS' IMPACT, MAY HAVE LONG-TERM IMPLICATIONS FOR FINANCIAL INSTITUTIONS

• FITCH, ON GAMESTOP VOLATILITY, SAYS EXPECTS LIMITED RATING IMPLICATIONS FOR CLEARINGHOUSES GIVEN STRONG RISK MANAGEMENT FRAMEWORKS

• FITCH SAYS INCREASED RETAIL TRADING IN COMMODITIES COULD INCREASE PRICE VOLATILITY, RAISE MARGIN REQUIREMENTS FROM DERIVATIVES CLEARINGHOUSES

• FITCH SAYS ALTHOUGH COORDINATED RETAIL TRADING MAY HAVE LIMITED DIRECT SYSTEMIC IMPACTS, IT CAN RESULT IN ELEVATED MARGIN MODEL RISK

• FITCH SAYS CENTRAL BANK LIQUIDITY SUPPORT MAY NOT BE AS FORTHCOMING IN AN IDIOSYNCRATIC STRESS, RAISING BROKERS & CLEARINGHOUSES' COUNTERPARTY RISK

• FITCH SAYS RETAIL BROKERS WILL LIKELY FACE MODEST EARNINGS HEADWINDS FROM INCREASED INVESTMENT IN TECHNOLOGY AND STAFF TO MEET INCREASED VOLUMES

• FITCH SAYS RETAIL BROKERS MAY FACE REGULATORY SCRUTINY RELATED TO RECENT TRADING STOPPAGES, INVESTOR PROTECTIONS, PRODUCT SUITABILITY

Source text for Eikon: ID:nFIT6RSL6X

Further company coverage: GME.N

((Reuters.Briefs@thomsonreuters.com;))