Once again on Wednesday, the GameStop stock saw an almost unfathomable rise in value. The stock opened at $45 and then went up by a whopping 100% to close at just over $90.
As the volatility of the stock sent up sirens all across the market, trading had to be halted in the last hour before closing time. The shares managed to rise another 83% post trading hours.
This development comes amid the announcement of CFO Jim Bell’s departure from the company. While there were no official reasons disclosed for his departure, it is speculated he resigned due to some behind-the-scenes upheavals at the company.
While GameStop’s stock price was climbing dizzying heights at the trades, Reddit saw an outage that lasted for over an hour. It cannot be said with certainty that these events were related but it would not be a surprise if they were since this whole GameStop saga began over at r/WallStreetBets. Maybe Reddit couldn’t handle the sheer number of users coming to celebrate the price rise at the now infamous subreddit.
This would have surely surprised all the daily traders who thought that the GameStop saga was behind them. But r/WallStreetBets’ attempts to take GameStop and other stocks ‘to the moon’ seem well underway and far from over.
Last month’s short squeeze took GameStop’s stock price to over $400. While GameStop didn’t profit from this rally, a lot of day traders that were a part of the movement earned big. Could a Round 2 of the squeeze be on the way? Better keep your ears to the ground and your eyes on the markets.
About GameStop
GameStop Corp. is an American video game retailer that sells gaming merchandise like game titles, consoles, and accessories through digital and physical formats. It is a Fortune 500 company and owns over 5,000 stores across various countries.
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