- NYSE: AMC attempts a bounce again on Fed's less hawkish rate hike.
- AMC Apes rejoice as Melvin Capital considers starting a new fund.
- AMC prepares new collectibles and NFTs ahead of blockbuster releases.
Update: NYSE AMC Entertainment made another recovery attempt on Thursday but the $16 hurdle capped the further upside. The stock price has entered a bearish consolidative mode, although bulls found some respite from the less aggressive than expected Fed rate hike. The Wall Street indices rebounded sharply after Fed Chair Jerome Powell played down 75 bps June Fed rate hike expectations. Investors now look forward to AMC's earnings results next Monday. Upbeat expectations keep the downside limited in the movie theatre operator.
AMC stock snapped its mini three-day losing streak on Tuesday as the broader markets rose higher ahead of the much-anticipated FOMC rate hike later this month. Shares of AMC gained 1.64% and closed the trading session at $15.51. Stocks spent most of the session trying to choose a direction during another choppy day of trading. All three major indices ultimately closed higher, as investors shrugged off a leaked report that the Fed was set to announce a 0.75% rate hike. The Dow Jones edged higher by 67 basis points, while the S&P 500 and NASDAQ rose by 0.48% and 0.22% respectively during the session.
Stay up to speed with hot stocks' news!
AMC Apes were in a celebratory mood after short squeeze villain, Melvin Capital, announced that it might be unwinding its current fund to start a new one. Melvin Capital was one of the primary hedge funds that battled against retail investors during the Reddit short squeeze. AMC and its running mate GameStop (NYSE:GME) were the two battlegrounds back in January of 2021. It seems that Melvin Capital has not been able to recover from having to close out its short position in GameStop, and is looking to take steps to start fresh. Needless to say, AMC Apes are looking at this as a victory over another institutional investor.
AMC stock forecast
With the upcoming releases of Doctor Strange 2 and Top Gun: Maverick in May, AMC is putting together some more collectibles for its users. Anyone who preorders Top Gun tickets through AMC will be eligible for a limited edition NFT. It is the latest in a series of giveaways AMC has been offering in the NFT space as a way to connect with younger investors.
Previous updates
Update: Retail crowd favorite AMC Entertainment shares have opened Wednesday's trading in the red, with the popular meme stock losing close to 5% within the first hour of regular trading action on Wall Street. AMC stock is continuing its current downtrend after bears took a breather and allowed the AMC apes to have three consecutive small-gaining days. The movie theater company shares are back below $15, nearing the year-to-date low from March 14. The market is awaiting a big interest rate hike from the Federal Reserve later in the day, with a 50 basis point rise widely expected, and most high-risk stocks like AMC need some dovish words from Jerome Powell and the FOMC to stage another rally. If the Fed hawkish outlook is confirmed, AMC short sellers could have another field day.
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: The hunt for the 0.7000 hurdle
AUD/USD quickly left behind Wednesday’s strong pullback and rose markedly past the 0.6900 barrier on Thursday, boosted by news of fresh stimulus in China as well as renewed weakness in the US Dollar.
EUR/USD refocuses its attention to 1.1200 and above
Rising appetite for the risk-associated assets, the offered stance in the Greenback and Chinese stimulus all contributed to the resurgence of the upside momentum in EUR/USD, which managed to retest the 1.1190 zone on Thursday.
Gold holding at higher ground at around $2,670
Gold breaks to new high of $2,673 on Thursday. Falling interest rates globally, intensifying geopolitical conflicts and heightened Fed easing bets are the main factors.
Bitcoin displays bullish signals amid supportive macroeconomic developments and growing institutional demand
Bitcoin (BTC) trades slightly up, around $64,000 on Thursday, following a rejection from the upper consolidation level of $64,700 the previous day. BTC’s price has been consolidating between $62,000 and $64,700 for the past week.
RBA widely expected to keep key interest rate unchanged amid persisting price pressures
The Reserve Bank of Australia is likely to continue bucking the trend adopted by major central banks of the dovish policy pivot, opting to maintain the policy for the seventh consecutive meeting on Tuesday.
Five best Forex brokers in 2024
VERIFIED Choosing the best Forex broker in 2024 requires careful consideration of certain essential factors. With the wide array of options available, it is crucial to find a broker that aligns with your trading style, experience level, and financial goals.