U.S. Stocks Fall as GameStop Frenzy Builds

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U.S. stocks fell, with the Dow down more than 600 points, as frenzied trading continued to drive GameStop and other heavily shorted shares

U.S. stocks fell Friday as frenzied trading continued to drive GameStop and other heavily shorted shares, pointing to a volatile end to 2021’s first month of trading.

The Dow Jones Industrial Average fell 0.7% and the S&P 500 declined 0.6%, a day after rising nearly 1%. The tech-heavy Nasdaq Composite lost 0.5%. Shares of GameStop jumped roughly 70% after closing down 44% Thursday. AMC Entertainment was up 54%. Robinhood Markets, a popular venue for online traders that had restricted trading in GameStop and AMC, said late Thursday itThe frenetic trading has caught the attention of lawmakers and regulators. On Thursday, both Rep. Alexandria Ocasio-Cortez and Sen. Ted Cruz took to Twitter to criticize Robinhood.

“The GameStop story, where you have retail investors that are a new actor on the market, [is] one that people cannot ignore,” said Luc Filip, head of private banking investments at SYZ Private Banking. “There are some critical links for .” Those investors are selling other long positions to close out money-losing short positions, weighing down markets overall.

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that’s because 8men

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