The Week in Business: Gametop’s Bizarre Saga

Hi everyone. Here is a breakdown of the top news in business and technology, so you are ready for the coming week. – Charlotte Cowles

Who can predict that the struggling video game retailer will hijack the GameSpot markets and cause the Wall Street meltdown? The company’s stock declined by 1,700 percent this month, but not because the company did anything new or special. Instead, it became the focus of a crowd of amateur traders – also known as retail investors – who Banded together on Reddit message boards and removed GameStop’s stock price By purchasing tons of their shares through apps like Robinhood and e-Trade. They adopted a similar strategy with underdogs such as AMC Entertainment, Blackberry, and American Airlines, raising their stock prices as well. By doing so, he squeezed out the big Wall Street firms that were betting against the companies, They were forced to suffer heavy losses.

All the bubbles eventually burst, but the question is when. GameStop’s stock on Thursday banned it trading after Robinhood and a similar app began, temporarily – deflation. The cracks stabilized the markets but Attracted criticism from legalists Who accused apps of coveting in Wall Street hedge funds. GameStop’s investors were not happy either, and the backlash Pushed Robinhood to reverse its decision And reopen the “limited” trade one day later. Takeaway: Now that trading apps allow millions of regular people to quickly and easily buy stock from their living room, this probably won’t be the last time they gang up on Wall Street.

Latest report of commerce department Confirmed what you can guess: 2020 set the country’s record for the worst economic decline in a calendar year, by at least one measure. Gross Domestic Product Rose just 1 percent in the last quarter.A sharp recession for the last three months. Economists attributed fiscal endorsements from the federal government and the year-end mess to end the resurgence of coronavirus cases during the holidays, resulting in more trade-offs and lockdowns. But analysts also believe that the country’s return will stabilize in 2021, with more government incentives in the way of Horizon and vaccine delivery.

Better make sure that your garage has enough outlets. General Motors has pledged To phase out gas-powered vehicles and completely switch cars and trucks with zero tailpipe emissions by 2035. This is part of the company’s plan to become carbon neutral by 2040, one of the most ambitious goals in the auto industry. The move follows a higher standard for other vehicle drivers, and could push the Biden administration to pursue more aggressive policies to encourage companies to fight climate change.

Leon Black, Chief Executive and President of Apollo Global Management, one of the world’s largest private equity firms, He said he would step down from his executive role He paid more than $ 150 million to convicted sex offender Jeffrey Epstein after the revelations until July. Mr. Epstein committed suicide in prison more than a year ago, facing federal sex-trafficking charges, but several of his former associates are closely tainted. An investigation found that Mr. Black’s payments were compensation for Mr. Epstein’s business advice. They also reveal how Mr. Epstein was able to control at least part of his extraordinary lifestyle.

The Big Four tech giant has faced fresh scrutiny and legal threats from antitrust watchdogs over the past few months, but will this hurt his development? Probably not, but we’ll get more information when Amazon and Alphabet, Google’s parent company, report their latest earnings in the coming week. Facebook profits Jumped 53 percent In the most recent quarter, even though the company fought a major lawsuit filed by the Federal Trade Commission in December (and removed former President Donald J. Trump from the stage, many of his supporters fled as a result). And Apple’s new iPhone 12 Which led to a 21 percent increase in sales, Leading the company to $ 100 billion in quarterly revenue for the first time.

President Biden for Treasury Secretary, former Federal Reserve chair Janet Yellen, Confirmed and sworn in. Walgreens Boots Alliance has named Rosalind Brewer, now chief operating officer at Starbucks, As its next chief executive, Making her the only black woman currently running a Fortune 500 company. A small painting by Tontilly Sotheby’s auction fetches $ 92.2 million, A sign that the world’s wealthiest people are still drawn to the fine arts.

And finally …

Has the epidemic forced the closure of one of your favorite local businesses? tell us about it, here. We are collecting stories about the particular neighborhood establishments that had to close this last year, and what that loss means.

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