The US auto industry just got T-boned by the pandemic with some historically low 2nd quarter numbers.
The Great Car-cession. Major auto companies reported a sale drop of around 30%, which is the lowest it’s been in over a decade.
- Ford (F +1.26%) met its low-expectations for the quarter and had its sales slump by 33.3% (-34% was expected, so yay?).
- Meanwhile, GM (GM +1.20%) had a 34% drop, and Fiat Chrysler (FCAU +0.51%) vehicle sales were down 38.6%.
*Enter Elon* Tesla, on the other hand, beat out the haters’ expectations with 88,400 models delivered, compared to the expected 72,000.
How does it affect my wallet?
Tesla shock-wave. In response to the good news, Tesla share prices are continuing to rise at a steady pace. They’ve grown by around 4,000% in the last 10 years alone.
Gassed-up volatility? Auto-makers that focus on gas-powered vehicles have seen more shifts in their share prices as investors aren’t as enthusiastic about the old-school way of powering cars.
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