Analysis: Retail traders splurge on risky plays, fueling bounce – Reuters.com

Analysis: Retail traders splurge on risky plays, fueling bounce – Reuters.com

NEW YORK, March 31 (Reuters) - Freshly emboldened retail investors have continued piling into risky assets, supporting a bounce that has buoyed everything from so-called meme stocks to cryptocurrencies despite economic worries and geopolitical uncertainty.

Weeks-long rallies in some of the market's most speculative names have far outpaced a broader rebound in the S&P 500 (.SPX), despite a selloff on Wednesday that saw the benchmark index shed 0.6% and declines in many of the more comparatively risky assets that have rallied in recent weeks.

Shares of GameStop (GME.N) and AMC Entertainment (AMC.N), two companies most closely identified with the meme stock mania that drove astronomical stock price moves in 2021, have nearly doubled in price over the last two weeks after worries over tighter monetary policy and the war in Ukraine slammed stocks earlier this year.