Reupload Note: We recently changed the way we host our site. Unfortunately, during the transition, our previously uploaded articles were lost. This article has now been reuploaded and was originally posted on: March 22, 2024
Summary
Automotive companies continue growth with Department of Energy ruling
Tesla rebounding?
DraftKings’ badly hit by NCAA announcement
Apple’s attempt to recover from DOJ lawsuit
The Market
The market slowed down in this shortened week, with the S&P 500 growing by 0.23% and the Dow Jones by 0.08%.
Automotive giant General Motors (GM) grew a solid 5.03% this week, adding to its bullish 25.80% growth this year. Sitting at $45.35 GM’s recent success can be attributed to the Department of Energy’s new proposed energy rules: the revised rules allow major vehicle manufacturers to continue to sell gas-fueled cars through 2030 while meeting energy efficiency requirements. This allows GM to transition from gas to electric-powered cars more effectively by 2035 as they planned. Ford (F) is also banking on this rule change, with its stock growing 3.35% in the trading week, continuing their up trend since November.
In the trading week, Tesla (TSLA) had a slight rebound of 5.43% however, this boost doesn’t come close to covering almost 4 months of loss. Tesla is supposed to report earnings in the next couple of weeks, which could go any way. Investors are worried about Tesla’s competition in China, with Chinese EV manufacturer BYD taking over their Chinese market. Tesla’s European market has also suffered, with protesters in Germany setting fire to a Tesla factory in Berlin. Overall, it isn’t looking great for Tesla, even with their rebound this week.
DraftKings’ stock dropped 4.82% this week with NCAA President Charlie Baker announcing that he wants to ban prop bets on college sporting events. This could potentially be a huge blow to DraftKings’ business. Although college prop bets are only a part of their offered services, they could still negatively affect the gambling community. Every other feature offered by DraftKings remains the same so this may not be a big deal in the long run.
Apple (AAPL) has continued its downtrend, falling 0.16% this week adding to its now 4.55% decline this month. There have been no new headlines in the DOJ’s lawsuit against Apple, but investors are still evidently acting with caution with them.
Nvidia’s (NVDA) growth has been slowing down since its remarkable earnings report. It hit a double top this week, a sign that it might start a downtrend soon as investors cash out. We are bearish on Nvidia right now as with all the growth they have experienced they might be due for a downtrend as investors finally reap their rewards.
Comments