With experts focusing on social media trends to assess market sentiment, retail investors are playing a big part in the year-end surge for U.S. stocks. Goldman Sachs technical specialist Scott Rubner emphasized the need of keeping an eye on Reddit (NYSE:RDDT) activity, especially trending names on the WallStreetBets site, with retail traders driving momentum. Rising recently, the S&P 500 Index (SP500) is on Wednesday reaching its 56th record closing high of the year. This fits Rubner's projection that by year-end the index might hit 6,200. With many apparently more active throughout the holiday season, retail traders are seen profiting on the so-called "FOMO" (fear of missing out) surge.
Along with the SPDR S&P 500 ETF (SPY), prominent references on Wednesday's WallStreetBets discussion thread included Nvidia (NVDA), Intuitive Machines (NASDAQ:LUNR), and Archer Aviation (NYSE:ACHR). Rising to prominence amid the 2021 retail trading frenzy, these stocks join traditional meme-stocks favorites such GameStop (NYSE:GME), AMC Entertainment (NYSE:AMC), and Chewy (NYSE:CHWY).
Particularly as they use options and talk about well-known brands, WallStreetBets and like sites have become a gauge for retail investor activity. As part of their larger efforts to grasp retail-driven market trends, analysts keep an eye on these forums.
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