Tesla Drives Nasdaq Toward 10,000 Even as Upstart Nikola Threatens
The beginning of the new week brought a new record high for the Nasdaq Composite (NASDAQINDEX: ^IXIC), which is now within spitting distance of a major milestone. After its rise of around 0.75% as of 3:15 p.m. EDT, the index is just 1% below the 10,000 level, and the amazing speed of its bounce from the coronavirus bear market shows just how upbeat investors are about the prospects for a full economic recovery as the spread of the pandemic begins to slow. The Nasdaq 100 index of top Nasdaq stocks posted slightly smaller gains of around 0.4%.
Helping lead the way higher for the Nasdaq 100 was Tesla (NASDAQ: TSLA), which picked up around 6% on the day. Yet as strong a performance as that was for the electric-vehicle first mover, Tesla's gains were nothing compared to upstart electric-truck company Nikola (NASDAQ: NKLA), which not only took its name from the same inventor but also is looking to expand its addressable market in much the same way Tesla is.
Tesla's gains came on news that the car company saw signs of recovery in the key Chinese auto market. China was early to close down as a result of the coronavirus pandemic, but it's also been quicker to get back to normal. That's been good news for businesses with a presence there.
Source Fool.com
