NIO, Tesla Move Lower as Stock Markets Fall
The stock market has been rising at a furious pace for the past eight months, so it's inevitable that there will be some days when investors take a break from the bull market. Yet even when markets fall, they've tended not to produce meaningfully sharp declines. That was the case on Friday morning, as concerns about whether an economic stimulus package will ever come out of Washington weren't enough to produce an extended negative reaction on Wall Street. As of 11 a.m. EST, the Dow Jones Industrial Average (DJINDICES: ^DJI) was down just 45 points to 29,954. The S&P 500 (SNPINDEX: ^GSPC) dropped 16 points to 3,652, and the Nasdaq Composite (NASDAQINDEX: ^IXIC) fell 56 points to 12,349.
One area that has captured much investor attention is electric-vehicle technology, where a huge range of new companies are all vying for supremacy. Two of the best-known are NIO (NYSE: NIO) and Tesla (NASDAQ: TSLA). Both were lower Friday morning, but for different reasons. And long-term investors don't necessarily need to be worried about the drops.
Shares of NIO were down almost 6% Friday morning. The Chinese EV company decided that it would follow in the footsteps of Tesla and take steps to raise capital at an opportune moment.
Source Fool.com