Stocks Up but Retail Favorites Fall; EU CPI, ADP Report

0
45

Note The table above is updated before publication with the latest consensus forecasts. However, the text charts are prepared ahead of time. Therefore there can be discrepancies between the forecasts given in the table above and in the text charts.

Rates as of 0500 GMT

Market Recap

Stock markets resumed their rise as the markets noticed the Democrats continued commitment to a larger fiscal package, progress on the vaccine front, and favorable earnings headlines.

The rally proceeded without many of the favorite stocks of the retail traders who follow the scuttlebutt on wallstreetbets. The SP 500 was up 1.4 and the NASDAQ 1.6, but GameStop fell 60 to 90 from 225 following a 31 fall Monday, while AMC Entertainment fell 41.

Admittedly people who bought GameStop on the first day of the year at 17.25 were still sitting on a nice profit, but how many people did? Much of the volume was done on the 25th 77, 26th 148 and 27th the peak close of 348. The intraday peak was on the 28th at 483.

While much of this activity has been attributed to the retail world, some market participants say that in fact hedge funds have been frontrunning the retail traders. A Bloomberg article claimed that funds have been using computers to follow the chatter on these discussion boards and trade on it. Given that these funds operate at the nanosecond pace while many retail traders are buying the wrong GME theres a stock with a similar ticker listed in Australia that saw its stock price…

LEAVE A REPLY

Please enter your comment!
Please enter your name here