Newsminute Economics: #1 The Game Of GameStop

Hi, I’m Professor Tigger, and welcome to the first edition of the Newsminute Economics show! Today, we’re going to be looking at the story of the game retail store company, GameStop, and the surge that has made people’s jaws drop to the floor and eyes pop out of their sockets.

That all began when hedge funds predicted the company’s stock price would fall. Usually, they are right, or they could make it right. But this time, the retail investors didn’t permit that to happen, at least not without any resistance. They started buying up shares of the company as quickly as the hedge funds were selling. That made the stock price go higher, and in half a month, it had gone from about $20 to almost $350.

So you see, the economy and the financial market are changing rapidly. But why are hedge funds selling these shares? Can stocks drop as suddenly as they skyrocketed? And what is money, anyway? We’ll talk more about it in future editions. Until then, keep an eye on your money, and maybe someday, when you have a hold on investment, that money will double or even triple.