US markets climbed on Tuesday, reversing earlier losses as a jump in Amazon lifted sentiment on Wall Street despite worries about renewed coronavirus lockdowns in Europe. The Dow Jones Industrial Average gained 140.48 points, or 0.5 percent, to at 27,288.18 while the S&P 500 added 34.51 points, or 1.1 percent, to 3,315.57. The Nasdaq Composite advanced 184.84 points, or 1.7 percent, to end the session at 10,963.64.
European stocks also rose on the back of gains in oil and tobacco companies with the region’s bourses partially recovering from a recent sell-off. The pan-European STOXX 600 index recovered 0.2 percent with the German DAX gaining 0.4 percent. Italy’s FTSE MIB climbed 0.5 percent with the UK’s FTSE 100 rising 0.4 percent on the back of a weaker Pound.
Maltese markets climbed on Tuesday with the MSE Equity Total Return Index closing up 0.59 percent at 7,348.696 points. International Hotel Investments Plc led the gains as its shares jumped 18.36 percent to €0.535, with Go Plc also gaining 1.25 percent to €3.24. Bank of Valletta Plc meanwhile posted the largest loss with shares down 4.02 percent at €0.86.
Tesla underwhelms on “Battery Day”
Electric carmaker, Tesla Inc, unveiled battery innovations and increased efficiencies that appeared to underwhelm investors late Tuesday at its much-anticipated “Battery Day.” The company’s market cap dropped $20 billion in just two hours after trading closed, as CEO Elon Musk and other Tesla executives presented their new battery and manufacturing strategies. Shares closed down 5.6% and dropped another 6.9% after hours.
Investors had expected two significant announcements at Musk’s acclaimed “Battery Day”, one being the development of a “million mile” battery good for 10 years or more, and a specific cost reduction target – expressed in dollars per kilowatt hour. Neither were presented however, with Musk instead promising several years to slash battery costs in half with new technology and processes.
Musk acknowledged that Tesla does not have its ambitious new vehicle and battery designs and manufacturing processes fully complete. Tesla has frequently missed production targets set by Musk. To help reduce cost, Musk said Tesla planned to recycle battery cells at its Nevada “gigafactory,” while reducing cobalt — one of the most expensive battery materials — to virtually zero.
This article was issued by Peter Petrov, Trader at Calamatta Cuschieri. For more information visit, www.cc.com.mt. The information, view and opinions provided in this article are being provided solely for educational and informational purposes and should not be construed as investment advice, advice concerning particular investments or investment decisions, or tax or legal advice. Calamatta Cuschieri Investment Services Ltd has not verified and consequently neither warrants the accuracy nor the veracity of any information, views or opinions appearing on this website.