EV stocks set to open 4% higher while the Market awaits results from the FED’s meeting

EV stocks are setting for a higher open after the declines of the last days. As of 09:00 AM EST, the sector leader, Tesla, is up +4.37% on the day of its highly expected Earnings Conference. During the last days, the company was 30% under its recent highs and all-time-highs setting now for a recovery towards Earnings.

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The Chinese EVs Nio, Xpeng, and Li Auto are also up between +4.00%—5.00%. Nio announced earlier this morning, the participation of its EP9 Model on the multiple awarded game “Forza Horizon 5” being the only Chinese Car company to do so. The U.S. Automakers Rivian and Lucid Motors — that are in an early phase of production — are up around 3% after the sharply decline during the last 8 weeks — when Rivian reached an All-time-high of $179.

Nio and Xpeng supplier Guangdong Hongtu Technology (GHT) already produced a 6,800-ton die-casting machine. This week they has announced it will start developing a 12,000-ton casting machine in partnership with Tesla supplier LK Technology.

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Yesterday, Moody’s anticipated that Tesla will deliver nearly 1.4 million vehicles in 2022, up from approximately 936,000 in 2021. Considerable investments in new production facilities in Berlin and Austin enable the steep increase in vehicle deliveries.

The Fed is set to conclude its two-day policy meeting Wednesday and make an announcement in the afternoon. The central bank is not expected to make any policy changes. However, investors will look for clues on when and by how much the Fed will raise interest rates this year. Market participants will also look for hints on further steps the Fed will take to unwind pandemic-era aid.

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“While significant stock market volatility leading up to an FOMC meeting would normally weigh on Fed policy and commentary, that is not the case this time around, given the extreme levels of inflation seen in recent months,” said Danielle DiMartino Booth, head of Quill Intelligence and former advisor to then-Dallas Fed President Richard Fisher.