Why Nikola Stock Is Soaring Today
Nikola (NASDAQ: NKLA) stock is seeing massive gains in Thursday's trading. The electric vehicle (EV) company's share price was up roughly 31.5% at 12:30 p.m. ET, according to data from S&P Global Market Intelligence.
Yesterday, the Federal Reserve announced that it would maintain interest rates at their current levels rather than implement a rate hike. It was the latest in a string of favorable developments for Nikola shareholders, and it looks as if the stock may now be seeing explosive positive momentum powered by a short squeeze.
Nikola has been posting large losses and needs to raise new capital in order to continue operating. For much of this year, the company's share price has also been trading below the $1-per-share threshold needed to continue trading on the exchange.
Source Fool.com
