Stocks Extend Selloff As Recession Fears Reemerge

Stocks are extending their losses this afternoon after the latest weekly jobless data failed to keep tailwinds blowing on Wall Street. Recession fears are back on the table, as traders continue to mull over hawkish stances from central banks across the world. The Dow Jones Industrial Average (DJI) is down more than 530 points, while the S&P 500 Index (SPX) and Nasdaq Composite Index (IXIC) are sharply lower as well.

MMC Stats 1222

CarMax, Inc (NYSE: KMXis getting blasted in the options pits today, with 46,000 puts and 11,000 calls across the tape thus far, or 17 times the volume that's typically seen at this point. Most popular are the weekly 12/23 50- and 54-strike puts, with new positions being opened at both. Last seen down 7.8% at $54.73, the used car retailer reported a third-quarter earnings and revenue miss, and also paused its share buyback program. The security dropped to a fresh two-year low of $52.10 earlier and is now eyeing its worst single-day percentage drop since September. KMX has shed 58.1% in 2022. Unsurprisingly, KMX is sitting comfortably on the short sale restricted (SSR) list as well.

One of the best stocks on the New York Stock Exchange (NYSE) today is Cleveland-Cliffs Inc (NYSE: CLF). The security is up 9.2% at $16.52 at the last check, after the steel producer noted it expects higher annual fixed prices in 2023, with a large portion of its contracts already renewed. CLF is today trading at its highest level since September, though a long-term ceiling at the $17 appears to be capping those gains. Quarter-to-date, the equity has added 23.2%.

AMC Entertainment Holdings Inc (NYSE: AMCis pacing towards the bottom of the NYSE, however, last seen down 13.1% to trade at $4.61. The shares also hit a more than one-year low of $4.11 after the movie theater name proposed a reverse stock split and said it would raise $110 million in new equity capital through a preferred stock sale. AMC lost support at its 20-day moving average earlier this month and carries a 72.9% year-to-date deficit.


More By This Author:

Dow Jumps 526 Points On Earnings, Consumer Confidence
Earnings Optimism Puts Wind In Wall Street's Sails
Stocks Snap Losing Streaks Following Afternoon Rally

How did you like this article? Let us know so we can better customize your reading experience.


Leave a comment to automatically be entered into our contest to win a free Echo Show.