Tesla loser on Wall Street because Trump may cancel discount

Electric car manufacturer Tesla was among the losers on Wall Street on Thursday. Together with other American car manufacturers, the company of CEO and Trump supporter Elon Musk lost stock market value after Reuters reported that future President Donald Trump plans to scrap the tax credit of $7,500 for consumers for the purchase of electric vehicles. That could be a major blow to the industry.

Rivian Automotive suffered the biggest blow at the fair. Shares fell more than 14 percent. Tesla lost almost 6 percent. General Motors and Ford Motor also fell initially, but their price losses later reduced to a minimum. Ford also announced that the auto company has agreed to a $165 million fine to settle allegations that the company delayed recalling cars with defective reversing cameras.

A few days ago, Tesla was one of the big winners on the New York stock exchanges. The company’s value had increased by almost 40 percent after the November 5 US presidential election. Investors expected Tesla to benefit from a new term for Trump. CEO Elon Musk is therefore rewarded for his support of Donald Trump. This puts him at the helm of a new Department for Government Efficiency.

Disney wint

The main stock market indicators in the United States fell on Thursday. The Dow Jones index ended down 0.5 percent at 43,750.86 points. The broad S&P 500 index fell 0.6 percent to 5,949.17 points and tech indicator Nasdaq also lost 0.6 percent to 19,107.65 points.

Investors processed, among other things, a speech by Federal Reserve Chairman Jerome Powell. He stated that the performance of the US economy recently has been “remarkably good.” “The economy is not giving any signals that we should hurry to lower interest rates.”

Disney gained more than 6 percent after a strong quarterly report. The company’s film studio benefited from the successes of Inside Out 2 in Deadpool & Wolverine.

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Meta Platforms also lost 0.5 percent. The European Commission is fining Facebook’s parent company 797.7 million euros for abuse of power with its own advertising platform Marketplace.

Investors also seemed hardly impressed by a Financial Times article that the regulator FTC would prepare an investigation into anti-competitive practices at Microsoft’s cloud branch. The FTC and Microsoft declined to comment. Microsoft shares ended 0.4 percent higher.

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By Editor

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