Market is at 'speculative peak' as Reddit traders fuel GameStop, money manager says

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The market is at a 'speculative peak,' money manager says as Reddit traders fuel GameStop, Apple (via ETFEdgeCNBC)

The GameStop frenzy even caught the attention of billionaires CEOs Chamath Palihapitiya and Elon Musk. Both referenced the action Tuesday on Twitter, with Palihapitiya saying he made an options bet on the stock and Musk sharing a link to r/wallstreetbets, a Reddit page popular with traders.after taking a huge loss, the manager of the fund told CNBC's Andrew Ross Sorkin.have also been seesawing this week on high trading volumes.

"It's interesting that we're talking about GameStop ... in a world where investing has truly become gamified," he told CNBC'sDuring the pandemic lockdown, people have turned to stocks as a way to entertain themselves in the absence of sports betting, Yusko said. While some have compared today's euphoria to the dot-com bubble peak of the early 2000s, modern technology is a complicating factor, said Ben Johnson, Morningstar's global head of exchange-traded fund research.

"That, I think, has only played on and really exacerbated all of those animal spirits, all of the worst of our behavioral biases," he said.

 

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