Here's Why Nio Shares Moved Down Before Recovering Today
Several items of note are pulling Nio (NYSE: NIO) shares in different directions today. Nio's American depositary shares initially dropped 3.8% Friday morning. They subsequently reversed course and were up as much as 3.4%. As of 2:13 p.m. ET, the stock was holding onto a 0.6% gain.
It actually makes sense that investors don't know what to think about Nio right now. After COVID-19-related lockdowns in several Chinese cities stymied production and sales in April and May, a recovery took hold in June. Nio, in fact, delivered more electric cars in June than in April and May combined.
Nio wasn't the only Chinese automaker that experienced a recovery from the lockdowns. The China Passenger Car Association reported today that China's overall vehicle production rose 46% in June versus the prior-year period, as reported by The Wall Street Journal. And the Chinese government wants to make sure the recovery has staying power.
Source Fool.com
