GameStop up another 60%, amateur interest shows no sign of abating

Reuters2021-01-27

LONDON, Jan 27 (Reuters) - GameStop shares surged another 60% on Wednesday in pre-market trading, boosted by increased interest among amateur investors who have lifted the share price by 700% over the past two weeks.

But some hedge funds have refused to budge from their bearish bets, with FIS' Analytics data showing investors had piled on $2.2 billion in bearish bets on the U.S. video game retailer -- a whopping 20% of its market capitalisation,

In the meantime, Reddit's Wallstreetbets stock trading discussion group were backing the company, buying shares and call options on the stock.

A similar euphoria has boosted BlackBerry and Nokia

Meanwhile in Europe, shares of Evotec and Varta

jumped on a chatter that Melvin Capital Management was being forced to unwind its short positions to cover losses on its other bearish bets, including GameStop.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

Leave a comment
64