There Are No Stock Market Heroes
Even when the transactions appear to be personal, they're strictly business.
Although the magnitude startled me--the stock gained 2,500% in two weeks--GameStop's (GME) surge was not otherwise remarkable. That individual investors have been in a mood since the COVID-19 shutdown has been evidenced by, among other items, the gains of Tesla's stock (TSLA) and Bitcoin. Enthusiasm reigns.
Broadly speaking, today's market climate resembles that of the late 1990s. Then, too, upcoming individual investors were aggressive, trading Internet stocks from accounts they had established within discount-brokerage firms. They also brandished their youth as a virtue, believing that they understood technology better than did their stodgy elders. (Likely true.)
John Rekenthaler does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.