Stocks are plunging in the Thursday session erasing yesterday’s gains after the FED’s decision to rasing rates by 50bps. As of 12:48 EST, Dow is dropping 1,150 points (3.31%), S&P 500 165.47 points (3.85%) and Nasdaq Composite 5.10%.
The Chinese EV maker NIO (-16.88%) and XPeng (-14.13%) are leading the losses in the sector after being added to the HFCAA list on Wednesday evening. According to the law approved in late 2020, the companies on the list used an auditor “whose working paper cannot be inspected or investigated completely by the PCAOB”. Previously, on April 22, also the Chinese automaker LI Auto (-9.79%) was added to the HFCAA list.
Although one of the worst days since Pandemic started for the US Futures, Mullen Automotive (7.74%) and Nikola (+2.64%) are up on the session. The South-California based company announced earlier today a second leg for its US Test Drive Tour expected for Spring 2023. The company also revealed that will show its FIVE RS model that features 1,100 horsepower and reaches 0-60mph in just 1.9 seconds.
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Before the opening bell, Nikola Corporation reported its financial results for the Q1 2022 where CEO confirmed the production scale and the goal of delivering 300-500 units in 2022. “During the first quarter, we reached a significant milestone with the start of serial production for the Nikola Tre BEV at our Coolidge, Arizona manufacturing facility and are currently delivering saleable trucks to dealers for customer deliveries,” said Mark Russell, Nikola’s Chief Executive Officer. “We look forward to scaling production and delivering 300 – 500 production vehicles to customers this year.”
Tesla is trading down 7.84% near $878 per share after CNBC reported that Elon Musk is expected to serve as a temporary CEO of Twitter for a few months. Earlier today, an SEC filing revealed that Tesla’s CEO got another $7 billion from friends and investors to buy Twitter.
Lucid Motors, on the day it will report its Q1 Earnings Results, is down 8.09% trading at $18.62 per share. The company invited retail and institutional shareholders to submit and upvote questions in order to answer the top 5 during its conference call later today at 5:30 pm EST.