Tesla stock had a huge rally up to 194 dollars today's news explains exactly why this happened and what you should be thinking about as a Tesla investor stock market news like And subscribe to keep up to date with the stock market and I really hope you enjoy this video the FED indicated today an interest rate increase in December won't be as aggressive as previous rate hikes this comes as great news to investors who have been hoping that the Federal Reserve would ease off of its rate hikes


comments made by the Federal Reserve gave stocks a boost subsequently Tesla's stock was Rising this afternoon after Federal Reserve chairman Jerome Powell said that smaller interest rate hikes will begin in December that news caused market indices to jump with the S P 500 gaining 2.3 percent in the NASDAQ Composite Rising 3.4 percent and they took Tesla's shares along with them the electric vehicle stock was up by 5.3 percent as of 334 PM Eastern speaking at the Brookings institution today Powell


said that the Federal Reserve will likely begin smaller increases to the federal fund's rate at its December meeting Powell also said that the fed's moves including past interest rate hikes will take time to slow inflation and that it makes sense to moderate the pace of our rate increases as we approach the level of restraint that will be sufficient to bring inflation down investors were very happy to hear that today and they specifically lashed on a pal's comments when he said that the


time for moderating the pace of rate increases may come as soon as the December meeting growth stocks like Tesla have been especially vulnerable to the fed's aggressive interest rate hikes as investors have worried that the FED will end up pushing the U.S economy into a recession Tesla CEO Elon Musk has been concerned about exactly that and tweeted earlier today before Powell's comments were published about the potential for a recession while the FED isn't cutting rates like musk hoped investors are


happy to see that the severity of the increases will at least decrease but Powell also warned that the FED has more work to do despite some promising developments we have a long way to go in restoring price stability he said today but with Central Bank officials now indicating that less aggressive interest rate increases could be on the horizon many growth stock investors are celebrating the news today despite Twitter distraction keep on buying Tesla stock says Morgan Stanley do you think Tesla's share price drop is


correlated to Elon musk's Twitter Endeavors most likely the answer is yes and if that is your reply then it Chimes well with those given in response to a recent Morgan Stanley survey firm analyst Adam Jonas says the banking giant asked a host of institutional investors and Industry experts two questions one how much of Tesla's recent underperformance do you attribute to the Twitter situation and two what impact do you believe Elon musk's acquisition of Twitter will have on Tesla's business


going forward for the former almost 75 percent of respondents said they believe the Twitter situation has accounted for at least a significant portion of Tesla's recent share price under performance as for the latter question till the 65 seem to think the Twitter acquisition will have a negative or slightly negative impact on Tesla's business going forward just five percent said they thought the Twitter acquisition will have a positive impact on Tesla's business [Music] as for Jonah's he thinks the


must-twitter love affair could be detrimental to Tesla in a few ways such as consumer sentiment slash demand commercial Partnerships and a supportive government and capital markets yet despite the ongoing Twitter debacle Jonas is recommending investors load up on shares and enlist the reasons why he remains in the Ed leaders Corner Tesla is The Only Name we cover that generates a profit before incentives on the sale of EV Tesla is the only self-funding Pure Play EV name we cover and has achieved a


unique position to secure supply of the battery metals and related Upstream supply necessary to produce EV at multi-million unit scale Jonas explained in a slowing economic environment We Believe Tesla's Gap to competition can potentially widen particularly as easy prices pivot from inflationary to deflationary to this end the Morgan Stanley analyst gives Tesla shares an overweight IE buy rating backed by 330 dollars price Target the figure suggests the shares of room for 75 percent growth from current


levels overall the stock claims a moderate buy consensus rating based on 18 by ratings 8 holds and two cells to find good ideas for stocks trading at attractive valuations visit tip ranks best stocks to buy a newly launched tool that unites all of tip ranks Equity insights Tesla Inc dominance of the US Electric Vehicle EV Market is more Brands sell cheaper options Elon musk's company accounted for 65 percent of 525 000 EV registered in the first nine months of 2022 according to s p Global Mobility that market share is


down from 71 last year and 79 in 2020 and could slide to just 20 percent by 2025. Tesla's Evie market share shrunk to 65 in 2022 compared with 71 percent in 2021. Tesla struggles as more automakers break into the under fifty thousand dollars EV area Tesla is also losing its lithium lead as General Motors and Ford make deals with lithium suppliers Tesla's position is changing as new more affordable options arrive offering equal or better technology and production build S and P said in the report given


that consumer choice and consumer interest in EV are growing Tesla's ability to retain a dominant market share will be challenged going forward S and P expects there to be 159 electric vehicle Brands by the end of 2025 more than triple today's 48. Tesla's lineup by then will largely resemble today's as Rivals break into the market faster EV sales are growing rapidly in the US although they make up a small percentage of the total auto market in the first three quarters of 2022 5.1 percent of all vehicles registered


in the US were EV up from 2.8 percent in the same period a year earlier Tesla's largest lead is in the luxury vehicle Market where it makes up 86 percent of registrations it struggles to capture mid-market demand however because it doesn't offer many vehicles under fifty thousand dollars new EVS in 2022 offering choices in that market include vehicles from Hyundai Motor Co heat Corp and Volkswagen group joining the Ford Mustang Maki the Chevrolet bolt EV and the Nissan Leaf Ford motorco is


Tesla's biggest competitor holding seven percent of registered EV in 2022 and 28 of the non-luxury EV The Mach e is the only non-tesla car to be in the top five EV models by registration Tesla's inability to adapt to new competition in the marketplace has heard it in other ways while the company has long been the biggest customer in the market for lithium Ford and General Motors have begun striking deals of prospective suppliers to pay upfront Tesla which is long resistant forming Partnerships with suppliers is seeing


its lead in lithium evaporate even as shares in the marketplace declined Tesla will continue to see growth in unit sales before you feel too badly for Tesla however remember that the brand will continue to see unit sales grow even as share declines associate director Auto intelligence for S and P Global Mobility Stephanie Brinley said in the report the EV Market in 2022 is a Tesla Market it will continue to be so long as its competitors are bound by production capacity Tesla's priority now is to work on a


more affordable model 3 that may allow it to break into the cheaper markets as the model 3 currently costs just under fifty thousand dollars although shipping fees raise this price however no announcement has been made on what the new price will be Tesla's stock has fallen 54 in the last 12 months outstripping a 30 drop in the NASDAQ composite Kathy Wood and Ark investment believe this is only temporary so much so that the investment giant has been loading up on Tesla stock with the firm believe


that it will reach New Heights we break down everything in this video here and with that we've come to the end of the video I'd like to give a huge shout out to anyone who's made it this far I hope you enjoyed the video I'd also like to make it clear that this is a news and entertainment video not investment advice you should always do your own research and speak to a financial advisor before making any Investments thank you all so much for your support don't forget to like And subscribe for


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