Speculation has collapsed on the stocks stirred by the “Wallstreetbets” platform last week. GameStop Corp. (GME) shares were up 19.2 percent to $63.77 on Friday have been dropped by -81 percent last week, which had risen five-fold to a high of $347.51, while AMC Entertainment Holdings Inc. (AMC) was down -3.6 percent to $6.83, which had increased 3.7-fold to $19.90 and has now plummeted by about 65 percent.
US Treasury Secretary Janet Yellen and key U.S. financial regulators, who met Thursday to tackle “market volatility,” decided that during the speculative hysteria that engulfed GameStop and other stocks last week, the fundamental architecture of financial markets showed resilience.
But, according to the Treasury Department, the Securities and Exchange Commission (SEC) of Wall Street will issue a briefing on the exact sequence of events, which said authorities were investigating the markets to decide if they met with consumer security and market justice.
Shares of News Corporation (NWS), a content creator and distributor for consumers and businesses around the world, risen by +6.12% to $20.82. Facing a 3 percent fall in quarterly sales year-on-year for its second fiscal quarter, NWS reported the most profitable quarter since its reorganization more than seven years ago. As a consequence, in the same period, the company posted adjusted earnings per share of 34 cents, compared to 9 cents for market consensus and 18 cents a year ago. There was $2.41 billion in sales, down from $2.48 billion a year ago. The company is, though, beating consumer demands too. Adjusted sales have risen by 2%. Compared to $103 million a year ago, net income was $261 million. EBITDA of media and information services company has recovered strongly, with a growth of 65 percent, particularly in book publishing. With digital sales, the company also saw its EBITDA grow 43 percent. For streaming video services Foxtel, the EBITDA rose 77 percent.