Market Extra: GameStop stock’s massive rally driven by fresh wave of speculative bets

United States

Traders are piling into long-shot GameStop Inc. call options that would pay off if the stock price nearly doubles before, or shortly after, the company’s Dec. 6 earnings report, FactSet data show.

Among standardized call options expiring on Dec. 8, two days after the company’s upcoming earnings report, investors have piled into options with strike prices at $ 20, $ 22, and $ 22.50, along with other contracts even further out. For a $ 22.50 call to be considered “in the money,” the stock would need to climb at least 40%. Shares…

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