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How Roaring Kitty’s return affected GameStop stock and some crypto assets
TheStreet’s Conway Gittens brings the latest business headlines from the floor of New York Stock Exchange with the markets closing on Monday 13 May.
Related: GameStop launches rockets, pounding short sellers, with ‘Roaring Kitty’ return.
Full video transcript below:
CONWAY GITTINI: I’m Conway Gittens and I report to the New York Stock Exchange. Here’s what we watch today on TheStreet.
The Dow Jones posted its longest bull streak since December, ending an eight-day rally. The S&P 500 closed slightly lower, while the Nasdaq managed to eke out a gain. Investors turned cautious ahead of key inflation data due on Wednesday. The inflation update could provide clues to how soon the Federal Reserve can begin lowering interest rates.
In other news: The pandemic meme craze has hit it again. GameStop shares soared thanks to a social media post by retail investor Keith Gill, better known by his online alias “Roaring Kitty,” his first post in 3 years. Gill is credited with kicking off the meme craze in 2021.
The post on his verified “X” account was an image telling someone to sit up and pay attention. There were no words or mention of stock, but that hasn’t stopped investors from interpreting what they think he means. GameStop shares surged 74% to close the day at 30.45. Trading in the stock was so volatile that it had to be halted several times on the NYSE. AMC, another meme stock, jumped 78%.
In addition to the huge rise in GameStop shares, a cryptocurrency that uses the GameStop name, logo, and ticker also surged more than 1,400% on the day. However, the coin has no connection to the company itself.
But analysts were quick to point out the disconnect between GameStop, the stock, and GameStop, the company. The game retailer has lost money almost every quarter for the last 3 years.
This will be enough for your daily briefing. From the New York Stock Exchange, I’m Conway Gittens of TheStreet.
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