Why Tesla Shares Jumped, Then Dropped, Today

Tesla (NASDAQ: TSLA) has been the undisputed leader in global electric vehicle development, and has yet to see any meaningful competition in the U.S. market. But its stock can move due to everything from a social media post by CEO Elon Musk to a trade by ARK Invest CEO Cathie Wood or just general tech sector momentum. Today seems to have a mix of several reasons why shares were up 2%, then down 1% before settling to a small gain as of 3:30 p.m. EDT.

Tesla's valuation is based on its technologies as much as its vehicle sales. But a new player in the domestic EV market is thought to be its first real potential competition. Lucid Group (NASDAQ: LCID) said it has begun production and has more orders than previously revealed as it hosts analysts at its new Arizona manufacturing facility this week.

Image source: Tesla.

Source Fool.com