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Meme stocks are making a comeback this week as Gamestop jumped almost 120% before trading was halted on the popular stock. Enthusiasts seem to think that a 300% rally is coming. But Elliott Wave International’s Steve Hochberg had this to say:
“Gamestop’s May 17th $30 and $34 calls traded more than 30,000 contracts each according to Bloomberg. The original meme stock frenzy [in 2021] fizzled out in 11 trading days… The current mania echo is likely to be shorter and should disappear with the market.”
To read Steve’s full commentary on GameStop and other stocks check out our Financial Forecast Service.
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Corn Futures saw a massive sell-off this week due to planting weather condition concerns dropping prices down to 458. Earlier this month, Jim Martens, Elliott Wave Internationals Chief Commodity analyst, had told subscribers to expect a bearish decline in corn prices to continue deeper and that is exactly what has played out. The question is, will corn prices continue on this bearish path?
Stay up to date on the current moves in the commodity markets with our Commodity Junctures Service.
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On Tuesday, Fed Chairman Jerome Powell said that “it may take longer than expected” for high interest rates to lower inflation. He also stated that a Rate hike is unlikely.
Murray Gunn, EWI’s Head of Global Research, hosted a webinar earlier this month showing attendees a chart explaining why the FED’s actions have no bearing on the markets are doing. It only follows after the fact.
Get an in-depth look at interest rates and where inflation is going with our Global Rates and Money Flows service.