Why Gaming Stocks Jumped on Tuesday
The world of games (gambling or otherwise) was hot on Tuesday as both casino stocks and video game stocks moved higher. These may not be seen as similar industries, but the reason they were trading higher was very similar today.
Caesars Entertainment (NASDAQ: CZR) was up as much as 13.8% in trading today, MGM Resorts (NYSE: MGM) jumped 7%, and Roblox (NYSE: RBLX) gained 7.5%. At market close, the stocks were up 11.4%, 7.2%, and 6.2%.
The economic news that came out today was pretty bad, but the market is up anyway and there's some logic to that. First, the Institute for Supply Management's manufacturing purchasing managers index, better known as PMI, fell from 52.8 in August to 50.9 in September, the lowest reading since May 2020. We also learned that job openings fell from 11.2 million in July 2022 to 10.1 million in August 2022, indicating that companies are pulling back very quickly.
Source Fool.com
