US STOCKS-Wall St takes off with the power of big tech, pulls dismal data
News Highlights: US STOCKS-Wall St takes off with the power of big tech, pulls dismal data
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Recommended American Airlines joins retail
By Devik Jain and Shreyashi Sanyal
Jan 28 (Reuters) – Major Wall Street indices rallied Thursday as a reversal of declines in mega-cap technology stocks helped investors look at past data showing another sharp contraction in the US economy.
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(Reuters) - The U.S. Securities and Exchange Commission waded into the battle between small investors and Wall Street hedge funds on Friday, warning brokerages and social-media traders it was on alert for any wrongdoing in this week’s roller-coaster trade.
GameStop shares rallied again, awarding retail investors the advantage in the latest round of their week-long slugfest against major financial institutions that had shorted the video game retailer.
The so-called “Reddit rally” has inflated stock prices for GameStop and other previously downtrodden companies that individual investors championed on social media forums such as Reddit’s Wallstreetbets, which has almost 6 million members.
So far this year, it’s been
AMC Entertainment Holdings Inc (NYSE: AMC),
GameStop Corp. (NYSE: GME), and
American Airlines Group Inc (NASDAQ: AAL).
Anyone watching the markets and reading the news in January 2021 likely already knows what we’re talking about. All these stocks and several more felt the impact of what’s now very well-known terminology: the short squeeze and its options-related cousin, the so-called gamma squeeze.
A year ago, few people except market veterans would have known a short squeeze from a long jump. Now even your average college student has become familiar with the meaning and may have actually participated in one (gulp!).
Jan. 29, 2021
Jon Stewart, the popular Jewish comedian, finally joined Twitter on Thursday and used his first tweet ever to defend the users on Reddit who sent the stock price of GameStop through the roof this week.
“This is bullshit. The Redditors aren t cheating, they re joining a party Wall Street insiders have been enjoying for years. Don t shut them down.maybe sue them for copyright infringement instead!!,” Stewart wrote. “We’ve learned nothing from 2008. Love StewBeef”
The army of small investors behind this week s dramatic squeeze on Wall Street hedge funds returned to drive shares in GameStop and other hot companies higher on Friday as online broker Robinhood eased disputed trading restrictions.