Meme stocks GameStop, AMC dip in heavy volumes after two-day rally

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(Reuters) -Shares of GameStop and AMC slipped in volatile premarket trading on Wednesday, following sharp gains this week after 'Roaring Kitty' Keith Gill...

-Shares of GameStop and AMC slipped in volatile premarket trading on Wednesday, following sharp gains this week after "Roaring Kitty" Keith Gill, the central figure behind the 2021 meme stock frenzy, resurfaced on social media.

"This is a trend driven by entertainment rather than company fundamentals.. stocks which rocket up on pure speculation, tend to drop back down to earth very quickly," said Susannah Streeter, head of money and markets at Hargreaves Lansdown.

Gill did not respond to a Reuters request for comment on whether he was planning to resume posting about his trades on social media. AMC and GameStop were among the top 10 securities bought by retail investors on Tuesday, with $51 million and $16 million daily inflows, respectively, according to Vanda Research.

Rising interest rates had cooled the meme stocks phenomenon in the past two years, underlined by the shuttering of the Roundhill MEME ETF that invested in firms that exhibited a combination of elevated social media activity and high short interest. Jessica Biel Celebrates a 'Heavenly' Poolside Mother's Day 'Alone' as She Strips Down in Black Bikini

 

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