As the title suggests, today was a no good, very bad, awful day for Tesla. $TSLA shed 21% today in response to news that Nikola will join forces with GM to manufacture electric trucks. This brings Teslas five day slide to over 33%.
Now, it’s not really all bad news for Tesla, shares are still up 295% on the year, so I don’t think you will hear many complaints from long term equity holders…
The broader markets saw another bummer of a day with all major indices posting 1%+ losses, led by a large decline in tech stocks.
Again, much like Tesla, long term owners of the Nasdaq have had little to complain about this year as $QQQ is still up 27% on the year, crushing other market sectors by 20%+.
On the fixed income side, market moves mirrored last week where lower quality issues lagged their higher rated peers. Over the last week or so, the performance difference between High Yield Bonds and Long Term Treasuries has been over 1%.
What to read
Faltering COVID vaccine trials 🙁
Water concerns are starting to influence sovereign debt rates