• The Dow Jones Industrial Average fell 70 points as Tesla’s stock rally couldn’t sustain the broader market.
• Tesla announced plans to release a cheaper electric vehicle next year, causing its stock to soar over 12%.
• Meta and IBM are set to release their quarterly reports after the market close.
The stock market was mixed on Wednesday as Tesla’s rally couldn’t drive gains for long. Meta and IBM will release their quarterly reports after the closing bell today.
Tesla Stock Soars on Promise of Cheaper EVs
Tesla stock was among the best performers on the S&P 500, gaining over 12% by the end of the day. This is despite Tesla posting its biggest revenue drop in 12 years in its latest earnings report.
During Tuesday’s earnings call, CEO Elon Musk promised that the company would start making a cheaper new electric vehicle by early next year. Tesla shares were up more than 12% by closing time on this news.
Biogen Stock Rises on Sales of Alzheimer’s Drug
Biogen stock jumped 4.5% by closing time after the pharmaceutical company reported higher-than-expected sales of its Alzheimer’s drug Leqembi.
Leqembi generated $19 million in sales in Q1 2024, outperforming analyst expectations. That’s more than triple the amount of sales the drug generated in Q4 2023.
Boeing Stock Drops After Earnings Report
Boeing stock was down 4.8% by the end of the day after the company lost $343 million in Q1 2024. The company burned through billions in cash as it dealt with scrutiny from regulators and quality control issues.
Trump Media Soars on Claims of Illegal Trading
Trump Media & Technology Group doubled down on claims that its stock is being illegally traded, bringing its concerns to Congress. Following the news, the stock was up over 9% by closing time.
Crypto Market Falls in Line With Stocks
Stock market bearishness spilled over to crypto markets as well. The global crypto market was down nearly 3% on Wednesday. Major cryptocurrencies like Bitcoin, Ether, and Solana also dropped significantly.
