US stocks rally as momentum stocks live up to their name

Deckers, the shoe maker behind brands like Ugg and Hoka running sneakers, has dropped around 11% in premarket trading, after issuing a cautious outlook for its current fiscal year last night.

While revenue and profit both rose in the second quarter, up 9.1% and 9.7%, respectively, investors focused on the company’s forecast for the full fiscal year, where it expects sales to come in at $5.35 billion, some way short of the $5.46 billion analysts had been estimating, per FactSet figures cited by the Wall Street Journal.

The language around the full-year guidance, which is already weaker than anticipated, has also got Deckers investors worried, with the company stating:

This outlook assumes no meaningful changes to the Company’s business prospects or risks and uncertainties identified by management that could impact future results, which include but are not limited to: changes in macroeconomic conditions, including consumer confidence, discretionary spending, inflationary pressures, and foreign currency fluctuations; changes to global trade policy, including tariffs and trade restrictions; geopolitical tensions; and supply chain disruption.

The shoe company’s shares are down more than 55% in 2025 at the time of writing.

Shares of GameStop are jumping on no news amid elevated options demand that’s got a decidedly bullish tilt.

(Ah, typing that makes me feel younger!)

As of 3 p.m. ET, more than 233,000 call options have changed hands, already 100,000 above their full-day average over the past 20 sessions. And that’s largely one-way traffic: the stock’s put/call ratio is sitting at 0.1, which would be its lowest for a single session since July 21.

Call options that expire this Friday with strike prices of $23.50 and $24 are among the contracts seeing the most activity.