White House will defer to SEC on retail stock surge

"The message is that the U.S. government is starting to work as it should. The SEC is a regulatory agency that oversees and monitors developments along these lines. It is currently in their purview. They've put out several statements this week. We will certainly defer to them on that," White House spokeswoman Jen Psaki said at a press conference.

The U.S. Securities and Exchange Commission waded into the battle between small investors and Wall Street hedge funds on Friday, warning both brokerages and the pack of social media traders that it was closely monitoring potential wrongdoing.

The week-long slugfest, pitching the little man against major financial institutions, has inflated stocks of a number of previously beaten-down companies, drawn outrage from politicians and calls for action from regulators.