Meme-Stock Mania Revival Hits Short Sellers With Over $1 Billion Losses
- May paper losses in AMC, GME were more than $1.3 billion: S3
- Heavily-shorted stocks continue to jump in Tuesday trading
A concessions stand at an AMC movie theater in New York.
Photographer: Bing Guan/BloombergThis article is for subscribers only.
Traders betting against some of the most heavily-shorted stocks are racking up paper losses in an unexpected revival of the meme trade this week.
A Goldman Sachs basket that simultaneously goes long on the stocks most favored by hedge funds and bets against the 50 most-shorted stocks has fallen roughly 11% over the past two sessions — paring back from its worst two-day slump since the height of the retail-trading frenzy in 2021.