Investor Alert

New York Markets After Hours

Market Pulse Archives

Jan. 27, 2021, 7:17 a.m. EST

Hedge fund Melvin Capital closes out GameStop short: CNBC

Watchlist Relevance

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

or Cancel Already have a watchlist? Log In

By William Watts

Hedge fund Melvin Capital closed out its short position in videogame retailer GameStop Corp., CNBC reported Wednesday. Fund manager Gabe Plotkin told CNBC's Andrew Ross Sorkin that the position was closed out Tuesday afternoon following a huge loss. Shares of GameStop have soared more than 600% in January after retail investors, organized via Reddit's WallStreetBets forum and other platforms, sought to push up a handful of heavily shorted stocks. Hedge funds Citadel and Point72 infused nearly $3 billion into Melvin Capital to shore up the fund, news reports said earlier this week. Plotkin told CNBC that speculation the fund would file for bankruptcy is false. Also, Andrew Left of Citron Research, in a video posted to YouTube on Wednsesday, said he covered the majority of Citron's short position in GameStop in the $90 price range.Shares of GameStop trimmed premarket gains after the report but remained up 78%.

Get news alerts on GameStop Corp. Cl A — or create your own.
This Story has 0 Comments
Be the first to comment
More News In

Story Conversation

Commenting FAQs »

Partner Center

Link to MarketWatch's Slice.