Will Tesla Rise In Weak US Market Filled With Bad News?
This has not been a “good” week for US stock market; fraught with bad news weakening the 3 indexes again and again.
Guilty catalysts are : (in descending order of impact)
US regional banks unreeling.
US debt nearing its limit.
Mixed / Weak quarterly earnings results from most companies.
By The Time Market Closed on Thu, 11 May 2023
DJIA: -0.66% (-221.82 to 33,309.51).
S&P 500: -0.17% (-7.02 to 4,130.62).
Nasdaq: -0.00% (12,328.51).
Although the pre-market indicators seemed to predict that market will stage a rally to close off this Fri, 12 May 2023 - just be cautious and careful; given that market is still overcast with the gloom and doom of :
(1) US regional banks are struggling with flighty deposits.
US regional bank $PacWest(PACW)$ stock price just plunged -23% on Thu, 11 May as investors’ lost confidence in the bank after suffering another -9.5% deposits withdrawal from customers.
The other 2 regional banks ($Western Alliance(WAL)$ & $Zions(ZION)$) did not fare any better. Just look at their stock price movement for this week.
Its almost like they are just sitting there, waiting to be slaughtered when attention turns to them. So hapless and helpless!
(2) Cancellation of US debt limit meeting on Fri, 12 May.
Working teams from both sides are still “working-in-progress”.
They have nothing to bring to the tables for Mr Biden and Mr McCarty to thrash it out.
As I have said previously, its two poitical parties’ power struggle to see who would (a) throw in the towel and (b) who would be the last man standing.
All this is happening as US Global power and status is being pushed to the limits as World leaders convene for the latest G7 meeting at Hiroshima, Japan.
Am certain all countries will be concerned about the ripple effect damages the US Debt crisis may cause as 01 Jun deadline inches closer by the day.
In the midst of the doom & gloom that is festering in the US stock market, the “Pipe Piper of Tesla & Twritter” has decided to rear its “ugly” head and create “waves” during this unrestful period.
He fired his first salvo by announcing incoming Twitter CEO will assume her role in 6 weeks’ time.
While there is euphoria over this tweet, its still too early to tell if the incoming "someone foolish enough to take the job" CEO (as labelled by the snake oil salesman) will have free-rein to steer Twitter onto a proper recovery track and a cash-cow eventually?
Or will it still be a case of the salesman ruling behind a veiled curtain; with a puppet CEO ?
You know a control-freak when you see one right; and all the news re-affirming that.
Next, he has decided to raise the prices of all EV models (except for Model-3) at his whim & fancy.
Looks like his b***^^^t talk about volume sales over profit has suddenly evaporated into thin air.
Can you really trust a man whose words are a dime a dozen? It’s all mambo jambo. LOL !
Tesla past one year stock price
With that, it “looks” as though there is a chance that Tesla stock price might be heading up “North” again ?
Afterall its current stock price is still -29.09% lower than its last 12 month’s peak ($222.138); which is still lower (by -$77.82 or -25.94%) than its last stock-split price of $300 per share.
I am sure all “fanatic” fanboys & girls will believe that Tesla will be able to make it again. But….
Just when you think that Tesla’s future is all bright and shiny, along comes this piece of news (see above).
1.1 Million EVs to be recalled is not a small number to joke around with.
This will be the “biggest” faulty numbers of Tesla EVs announced for recall.
Looks like mr musk has outdone himself once again.
While Tesla is definitely to be blamed for the shoddy EVs produced and pushed out to customers, I think Wall Street is the partners in crime.
The unrealistic expectations put on each company to produce more and more profits each quarter is unsustainable.
When a company cannot meet the unrealistic goals, out comes the poison pen with disparaging remarks about the listed stock, discrediting it and cause its stock price to plunge.
Nothing personal right, its just business !
It is mantra like this that kills any up & coming company. All the unnecessary pressures and unrealistic profit-driven goals might be the root cause that “made” companies take short-cuts in the process.
Do you think Tesla’s stock price will continue to recover ?
Do you think there will be negative impact on Tesla’s EV recall ?
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I would take more care on recalled cars in China.
I don’t think there are so many good news for $特斯拉(TSLA)$
1.1 million car recall in China. Nice job Tesla.
TSLA will reach to at least 180 I believe!!