AMC Stock News: AMC Entertainment tumbles as Hycroft investment looks to be a bust
- AMC fell by 6.4% during Wednesday’s trading session.
- AMC’s investment in Hycroft Mining continues to look like a failure.
- Meme stocks reverse course as APE, BBBY plummet.
AMC Entertainment (AMC) gave back most of its gains from earlier in the week as the markets cooled off from a red-hot start to the fourth quarter. On Wednesday, shares of AMC tumbled by 6.4% and closed the trading session at a price of $7.33. Stocks hit the brakes on Wednesday after the markets saw the best two-day gains since 2020 to start October. Stronger than expected economic data tempered expectations of a potential Fed pivot in the near future. Overall, the Dow Jones lost 42 basis points, the S&P 500 dropped by 0.2%, and the Nasdaq fell just under 0.3% during the session.
AMC stock price
As reported on Tuesday, AMC’s investment in defunct gold and silver mining company Hycroft Mining (HYMC) looks to be a failure. Hycroft received notice from the Nasdaq exchange that it would need to trade back above $1 for 10 straight sessions by April of 2023 or risk being delisted. AMC attempted to use capital it had raised from retail traders to bail out Hycroft last year, but since then this investment looks to be a waste of money that could have been used for AMC’s own improvements. Shares of Hycroft were down a further 11.1% on Wednesday.
As treasury bond yields jumped higher, meme stocks reversed course and plummeted on Wednesday. Shares of APE preffered units dropped by 10.6%, while Bed Bath & Beyond (BBBY) also fell by 8.6% to fall within striking distance of its 52-week low price. GameStop (GME) lost 4.2%, while ContextLogic (WISH) remained below $1 after losing a little over 1% during Wednesday’s session.
AMC stock 5-minute chart 10/5/22
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Stocks Reporter
FXStreet
