Tesla’s stock price fell 1.9% on Friday but was expected to stabilize on Monday as price competition intensifies in the electric vehicle market.
Elon Musk’s company slashed the price of its Model Y, S and X by $2,000 (£1,617) in the US over the weekend. It also lowered prices for Models S, X, 3, and Y in China, and in Europe.
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The cuts were made following reports that global deliveries were falling in the first quarter of this year. Last week, the company announced plans to cut its workforce by 10%, or about $14,000, with layoffs also confirmed in China.
Nvidia (NVDA)
Nvidia fell 10% on Friday, amid a broader tech sell-off as investors turned on the sector. Investors are turning to lower-risk assets amid macroeconomic uncertainty and bets on early interest rate cuts in major economies.
Nvidia posted a loss of about $200 billion on Friday, its worst day since March 2020.
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Semiconductor companies have boomed in recent months as investors bet on the technology behind artificial intelligence (AI). Other companies that benefited from the boom, such as server company Super Micro Computers (SMCI), also exited on Friday.
Chinese social media company Tencent rebounded in trading on Monday after announcing it would release Nexon’s Arad Senki Mobile, one of this year’s most anticipated mobile games, sooner than expected.
The announcement date was set for May 21, resulting in the stock’s biggest single-day increase since February.
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In Asian markets, shares rose 5.7% by the close.
Minor Fresniro was one of the top losers on the FTSE 100 (^FTSE) on Monday, falling following a rough week for commodities. Last week, global markets reacted to worsening tensions between Iran and Israel as news of airstrikes and retaliatory attacks raised concerns about supply chains.
On Monday, Fresniro fell 2.2% in early trading ahead of Wednesday’s Investor Production Report.
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