- Today the stock price of GameStop Corp. (NYSE: GME) increased by 51.08%. This is why it happened.
Today the stock price of GameStop Corp. (NYSE: GME) increased by 51.08%%. The stock price increase was driven by frenetic options trading, according to Bloomberg.
Aggressive options trading was discussed in chatrooms and social media. And Interactive Brokers chief strategist Steve Sosnick told Bloomberg that this is a “rare convergence of a short squeeze combined with some fundamental news and an army of fast money traders.”
There were a record 700,000 GameStop calls traded as of 2 PM today. And short-seller Citron Research competed against a group of day traders on Reddit and others discussing the stock on chat room platforms. A GameStop contract with a strike price of $60 expiring today was the most actively traded option across exchanges.
On Tuesday, Citron had published a tweet that said that “buyers at these levels are the suckers at this poker game.” And then a group of investors who participate in the subreddit forum r/wallstreetbets got involved from there.
The stock price of GameStop hit as high as $76.63 during intraday trading and closed at $65.01. The previous close was $43.03.
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