Why General Motors Stock Just Popped
General Motors (NYSE: GM) stock is on the move Tuesday afternoon, up 2.2% as of 2:25 p.m. ET, on news that GM may be "gearing up" to launch a new car brand in China.
As Reuters reports today, General Motors is planning to "create a new, independently owned premium brand in China" that will sell "halo cars." Reuters goes on to explain that halo cars (a term dreamed up by Julian Blissett, president of GM China) refers to "premium, often high-performance cars that have an edgy design." So halo cars are probably not any of the upcoming mass-market electric cars GM has already announced in the U.S.
The new brand, yet to be named, will be "wholly owned" by GM, says Reuters. It will not necessarily be associated with any of GM's existing brands currently operating in China, which include Chevrolet, Buick, and Cadillac, and also local brands Wuling and Baojun.
Source Fool.com
