- AMC fell by 8.7% during Thursday’s trading session.
- The SEC announced it is not banning PFOF on platforms like Robinhood.
- Meme stocks continue to fall as GameStop’s NFT platform is on life support.
AMC Entertainment (AMC) stock slipped to a new 52-week low as the downward selling pressure across the broader markets has been especially tough on meme stocks. On Thursday, shares of AMC tumbled by a further 8.7% and closed the trading session at a price of $7.85. All three major indices fell for a third consecutive day as investors weighed the recent 75 basis point hike by the Fed as an indication that a recession is nearing. Overall, the Dow Jones lost a further 107 basis points, while the S&P 500 and the NASDAQ dropped lower by 0.8% and 1.4%, respectively, during the session.
AMC/APE preferred stock news
Retail traders were hit with another disappointing announcement as the SEC has decided to allow Payment for Order Flow (PFOF) to continue. The controversial system used by sites like Robinhood (HOOD) to send order flow data to institutions before trades are made has been criticized by meme stock traders. While the SEC has decided not to ban the process, there could be changes in the way that make it less profitable for companies to use. Still the decision is seen as another slap in the face to retail traders who have been seeking a level playing field with institutions.
Meme stocks continued to struggle on Thursday alongside AMC. The company’s APE preferred units hit a new all-time low price of $3.58 after falling a further 10%. This brings AMC’s true value to just $11.43 per share now. GameStop (GME) dropped by just over 8% after figures from its NFT Marketplace suggested that the platform is seeing the same drop off in transactions as OpenSea. GameStop was making less than $2,000 per day in fee revenues earlier this week. Bed Bath & Beyond (BBBY) also fell by 2.5% on concerns that even the holiday season will not save the company from inevitable bankruptcy.
AMC 5-minute chart for 9/22/22
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD posts gain, yet dive below 0.6500 amid Aussie CPI, ahead of US GDP
The Aussie Dollar finished Wednesday’s session with decent gains of 0.15% against the US Dollar, yet it retreated from weekly highs of 0.6529, which it hit after a hotter-than-expected inflation report. As the Asian session begins, the AUD/USD trades around 0.6495.
USD/JPY finds its highest bids since 1990, approaches 156.00
USD/JPY broke into its highest chart territory since June of 1990 on Wednesday, peaking near 155.40 for the first time in 34 years as the Japanese Yen continues to tumble across the broad FX market.
Gold stays firm amid higher US yields as traders await US GDP data
Gold recovers from recent losses, buoyed by market interest despite a stronger US Dollar and higher US Treasury yields. De-escalation of Middle East tensions contributed to increased market stability, denting the appetite for Gold buying.
Ethereum suffers slight pullback, Hong Kong spot ETH ETFs to begin trading on April 30
Ethereum suffered a brief decline on Wednesday afternoon despite increased accumulation from whales. This follows Ethereum restaking protocol Renzo restaked ETH crashing from its 1:1 peg with ETH and increased activities surrounding spot Ethereum ETFs.
Dow Jones Industrial Average hesitates on Wednesday as markets wait for key US data
The DJIA stumbled on Wednesday, falling from recent highs near 38,550.00 as investors ease off of Tuesday’s risk appetite. The index recovered as US data continues to vex financial markets that remain overwhelmingly focused on rate cuts from the US Fed.