U.S. stocks end lower ahead of inflation report
Stephen Culp, 09 June 2021
NEW YORK (Reuters) – Wall Street ended a see-saw session lower on Wednesday as market participants awaited inflation data for clues as to when the U.S. Federal Reserve might tighten its dovish monetary policy.
The retail “meme stock” craze continued unabated. All three major U.S. stock indexes reversed earlier gains, but remained range-bound in the absence of any clear market catalysts.
“There’s a lull period in terms of news,” said Chuck Carlson, chief executive at Horizon Investment Services in Hammond, Indiana. “We’re through earnings period and people are waiting for inflation numbers tomorrow, so you have a mixed market where the major averages aren’t doing much of anything.”
Heavily shorted meme stocks extended their social media-driven rally, with Aethlon Medical soaring 388.2%.
Reddit chatter also helped to lift shares of prison operator GEO Group and World Wrestling Entertainment 38.4% and 10.9%, respectively.
However, other meme stocks such as Clover Health, AMC Entertainment and Bed Bath & Beyond closed lower.
Retail volume has returned to its January peak, according to Vanda Research, as social media forums scramble to identify the next GameStop Corp, the stock that kicked off the phenomenon.
