GameStop, AMC trading throttled as stocks retreat from Wednesday gains

Market Trading EssentialsJanuary 28, 2021

1 minute read

Trading in shares of videogame retailer GameStop Corp. GME, -43.56% and theater chain AMC Entertainment Holdings Inc. was throttled in Thursday’s session following Wednesday’s session of massive gains and as brokerages set restrictions.

Trading of both stocks were halted several times on the New York Stock Exchange in Thursday’s early session due to volatility.

GameStop GME, -43.56% shares, which had gained as much as 39% in early trading to touch an intraday high of $483.00, were last down 62% at $132. Should GameStop shares finish lower Thursday, that would snap a five-session winning streak in which the shares soared 788%.

AMC AMC, -60.50% shares dropped 67% to $6.52 after opening at $11.98, well below Wednesday’s close of $19.90.

On Wednesday, GameStop closed at a record high $347.51 following a 135% surge, while AMC shares quadrupled in price as buying by individual investors clashed with Wall Street firms holding short positions.

On Thursday, online trading app Robinhood restricted trading of GameStop and other volatile stocks that have gotten caught up in the fight between retail investors and Wall Street hedge funds. Meanwhile, Interactive Brokers said it would allow investors to unwind positions of volatile stocks like GameStop but not create new ones.

That followed restrictions on GameStop and AMC trading by TD Ameritrade and Schwab on Wednesday.

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Market Trading EssentialsJanuary 28, 2021

1 minute read