Magic Empire Global (NASDAQ:MEGL) stock is rocketing higher on Thursday despite a lack of news from the Hong Kong financial services provider.
Instead, it looks like speculation from traders is behind today’s rally. This comes as Chinese and Hong Kong stocks are climbing higher as Covid-19 restrictions end in the country. That has some traders hoping for an economic boon for Chinese stocks.
To go along with that, Alibaba’s (NYSE:BABA) Ant Group got approval for an increase in financing from the Chinese government. That has also been helping Chinese stocks rally lately alongside the Covid-19 news.
MEGL May Regain Meme Stock Status
Volatile trading of MEGL stock is nothing new. The company’s shares were once considered a meme stock as wild swings were frequent for the company. With the renewed interest in Chinese and Hong Kong stocks, that could happen again.
However, traders will want to be careful about buying on the rally. It’s possible the stock won’t be able to maintain its current value. If that happens, some traders could be left holding the bag if the price collapses.
Investors will also note MEGL stock is seeing heavy trading today. As of this writing, more than 15 million shares of the stock have changed hands. That’s a massive leap over its daily average trading volume of about 417,000 shares.
MEGL stock is up 83.2% as of Thursday morning.
Investors looking for more of the latest stock market news will want to stick around!
InvestorPlace is home to all of the most recent stock news traders need to know about on Thursday! That includes what’s happening with shares of NovoCure (NASDAQ:NVCR), Western Digital (NASDAQ:WDC) and Bed Bath & Beyond (NASDAQ:BBBY) stock. You can read up on all that news at the links below!
More Thursday Stock Market News
- NovoCure (NVCR) Stock Soars 50% on Positive Clinical Trial Results
- Western Digital (WDC) Stock Pops on Revived Merger Talks
- BBBY Stock Alert: Bed Bath & Beyond Drops 20% on ‘Going Concern’ Warning
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.