Stocks on Wall Street rebounded sharply Monday from the drubbing they took last week. Mining shares like Hecla and Coeur jumped as the army of retail traders behind GameStop’s surge flocked to buy silver.
The Nasdaq ended Monday 2-and-a-half percent higher. The S&P 500 added 1.6%. The Dow gained three-quarters percent.
But the recent darling of day traders, GameStop, gave back much of Friday’s gains, dropping by nearly a third.
Whether it’s metals, stocks or other assets, Fiduciary Trust chief investment officer Hans Olsen warns this retail revolution may not have a happy ending for the little guy.
“Now, we’ve got retail folks doing it where they would pump up the price of the stock, and then, and then, sort of exit it and the stock would plummet. I think this is going to be a very sad and familiar tale for these folks.”
Another mover Monday: Chevron… shares rose more than one percent. Sources said the CEOs of Chevron and arch rival ExxonMobil held talks early last year about combining in what would’ve been the biggest merger of all time. Those discussions did not lead to a deal.