Breaking Stories

Tesla Sinks 50% From November Record High as Troubles Pile Up

S&P 500

3,583.07

-86.84(-2.37%)

 

Dow 30

29,634.83

-403.89(-1.34%)

 

Nasdaq

10,321.39

-327.76(-3.08%)

 

Russell 2000

1,682.40

-46.01(-2.66%)

 

Crude Oil

85.55

-3.56(-4.00%)

 

Gold

1,650.20

-26.80(-1.60%)

 

Silver

18.20

-0.72(-3.80%)

 

EUR/USD

0.9724

-0.0059(-0.60%)

 

10-Yr Bond

4.0100

+0.0580(+1.47%)

 

GBP/USD

1.1180

-0.0150(-1.33%)

 

USD/JPY

148.7200

+1.5380(+1.04%)

 

BTC-USD

19,126.35

-292.93(-1.51%)

 

CMC Crypto 200

435.82

-12.36(-2.76%)

 

FTSE 100

6,858.79

+8.52(+0.12%)

 

Nikkei 225

27,090.76

+853.34(+3.25%)

 

Tesla Sinks 50% From November Record High as Troubles Pile Up

(Bloomberg) — Tesla Inc. shares tumbled about 50% from their all-time high, amid a broader selloff in the US stock market that has hit growth and technology companies especially hard.

Most Read from Bloomberg

World Faces New Threats From Fast-Mutating Omicron Variants

Stocks Surge in Wild Ride After CPI Data Selloff: Markets Wrap

Stocks Upended by Inflation Survey’s Sobering View: Markets Wrap

Kroger Wants to Merge With Albertsons to Create US Grocery Giant

Core US Inflation Rises to 40-Year High, Securing Big Fed Hike

The electric vehicle-maker’s shares closed down 7.6% to $204.99 on Friday, taking its market capitalization to $642 billion. The decline has now sliced in half the stock’s Nov. 4 record closing high of $409.97.

The plunge comes amid a wider meltdown in the markets, as the specter of an economic slowdown rattles investors already bracing for the impact of rising inflation and higher interest rates. Riskier growth stocks with rich valuations have borne the brunt of the selloff.

Tesla’s own list of woes are long: Vehicle delivery in the third quarter took a hit due to logistical troubles, and some analysts warned that the climbing prices of the company’s cars may also weigh on demand at some point. On top of that, Tesla’s factory in Shanghai has faced disruptions due to Covid-19 lockdowns in the city. The company has also dealt with supply shortages and a surge in raw material costs, as has almost every other automaker around the globe.

Chief Executive Elon Musk’s highly public attempt to first buy Twitter Inc., then to walk away from the deal and buy it again, has also been a drag on the stock, due to concerns that the company’s leader is spreading himself too thin between several challenging ventures.

Most Read from Bloomberg Businessweek

Exxon’s Exodus: Employees Have Finally Had Enough of Its Toxic Culture

America Is Unleashing Its Economic Arsenal

Coming Soon on Netflix: A New Netflix

This Is What the Gas Station of the Future Will Look Like

Twitter Faces Only Bad Outcomes If the $44 Billion Musk Deal Closes

©2022 Bloomberg L.P.

Advertisement

Bloomberg

Nikola Founder Trevor Milton Guilty of Defrauding Investors

(Bloomberg) — Nikola Corp. founder Trevor Milton was convicted of fraud for misleading investors in the electric truck company, a stunning downfall for the door-to-door salesman turned billionaire who promised to revolutionize the auto industry. Most Read from BloombergWorld Faces New Threats From Fast-Mutating Omicron VariantsStocks Surge in Wild Ride After CPI Data Selloff: Markets WrapStocks Upended by Inflation Survey’s Sobering View: Markets WrapKroger Wants to Merge With Albertsons to Cre

TipRanks

Time to Bottom Fish? 3 ‘Strong Buy’ Stocks That Are Down Over 40% This Year

Everyone is hoping the market might be bottoming and by the recent actions of Bank of America clients, some evidently think the lows must be in sight. Last week, BofA customers splashed out $6.1 billion on US stocks, in what amounted to the third largest inflow since 2008. While the bank has stated it is not as confident the bottom is quite so close, it’s not hard to see why investors feel the time is right to lean into equities. The widespread losses have left scores of beaten-down stocks looki

Bloomberg

Singapore Tightens Policy, Warns of Risks Even as GDP Beats

(Bloomberg) — Singapore’s central bank tightened monetary policy settings for a fifth time in the past year, warning of persistent price pressures and a clouded outlook for the global and local economy.Most Read from BloombergWorld Faces New Threats From Fast-Mutating Omicron VariantsStocks Surge in Wild Ride After CPI Data Selloff: Markets WrapKroger Wants to Merge With Albertsons to Create US Grocery GiantCore US Inflation Rises to 40-Year High, Securing Big Fed HikeHot Inflation Torches Bear

Reuters

Citigroup reports $110 million leveraged-loan loss as other banks avoid sector exposure

NEW YORK (Reuters) -Citigroup took a $110 million writedown on leveraged loans in the third quarter, the company said on Friday as its Wall Street competitors downplayed their exposure to the sector. “We took about $110 million in total between markdowns and losses on loans in the leverage space,” Citigroup’s chief financial officer Mark Mason told reporters after the company released its third quarter earnings. U.S. banks wrote down $1 billion on leveraged and bridge loans in the second quarter as rising interest rates made it tougher for them to offload high-risk debt onto investors and other lenders.

MarketWatch

There’s no rush to buy I-bonds

This week’s worse-than-expected inflation report led to turmoil in more than one market, but you only read about one of them. What got far less attention was the flurry of excitement that the inflation report caused in the normally-staid I-bond market.

Quartz

The Fed is facing a housing Catch-22

The latest inflation measure from the US government, an 8.4% annual increase in the Consumer Price Index (CPI), has left market watchers with little doubt that the US Federal Reserve bank will hike interest rates by 0.75 percentage points at its next meeting in November.

Benzinga

7,300% Return In Just 4 years — Early Investors Hit Big With This Stock

Almost everyone has dreamt of hitting the lottery and played the “What would you do?” game. It’s fun to imagine hitting it big, and every year millions of Americans buy lottery tickets every week, leaving their pursuit of wealth up to fate. Some, however, take their financial futures into their own hands and scour data, press releases and every crevice of the internet for a piece of information that may lead to riches. Netflix Inc. recently released “Eat The Rich,” a documentary outlining GameSt

Bloomberg

Korea’s $177 Billion Fund Joins Bond Bulls With Portfolio Shift

(Bloomberg) — South Korea’s $177 billion sovereign wealth fund will buy more bonds, joining a handful of big-name investors who see value in the beaten-down asset class. Most Read from BloombergCore US Inflation Rises to 40-Year High, Securing Big Fed HikeIntel Is Planning Thousands of Job Cuts in Face of PC SlumpHere’s How Weird Things Are Getting in the Housing MarketPutin Says All Infrastructure at Risk After Nord Stream HitStocks Pare Drop as Traders Weigh Fed’s Next Move: Markets WrapKorea

Reuters

Wall Street banks’ profits slide as economic clouds loom, some beat forecasts

(Reuters) -Profits slid at Wall Street’s biggest banks in the third quarter as they braced for a weaker economy while investment banking was hit hard, but investors saw a silver lining with some banks beating estimates. JPMorgan Chase & Co, Morgan Stanley, Citigroup Inc and Wells Fargo & Co’s showed a slide in net income after turbulent markets choked off investment banking activity and lenders set aside more rainy-day funds to cover losses from borrowers who fall behind on payments. “We’re in an environment where it’s kind of odd,” said JPMorgan Chief Executive Officer Jamie Dimon, who said that while the bank was “hoping for the best, we always remain vigilant and are prepared for bad outcomes.”

What's your reaction?

Excited
0
Happy
0
In Love
0
Not Sure
0
Silly
0

You may also like

Leave a reply

Your email address will not be published. Required fields are marked *