NEWSLETTER
Remy Blaire brings the latest trading headlines from the floor of the New York Stock Exchange as markets open for trading on Wednesday, April 3.
Related: Analysts review Tesla stock price targets after delivery debacle
Full video transcript below:
REMY BLAIRE: I'm Remy Blaire, reporting from the New York Stock Exchange. This is what we are seeing today on TheStreet.
Wall Street is coming off a losing session as stocks struggle to start the second quarter. Investors have increasingly less hope of an interest rate cut in June as inflation remains persistent.
In other news, Tesla's quarterly deliveries fell for the first time in four years. While the Elon Musk-led electric vehicle maker reportedly built 433,000 vehicles, it delivered just 386,810 globally in the first quarter of 2024, a drop of 8.5 percent from this time last year. It marks Tesla's worst quarterly performance since the third quarter of 2022.
The company attributed the drop in deliveries to several production setbacks. Tesla was forced to close its plant in Germany for two weeks due to a chip shortage. The shortage is due to continued attacks on ships in the Red Sea. And in the United States, Model 3 production slowed when Tesla introduced a refreshed version of the car.
However, despite the decline in sales, Tesla was able to regain its title as the world's best-selling electric vehicle maker from China's BYD. But Tesla is seeing increased competition from traditional automakers. General Motors reported that five of its newest electric vehicles, including the GMC Hummer and Chevy Silverado, saw a combined sales increase of 841 percent in the first quarter of the year.
Tesla shares have fallen 33 percent so far in 2024, making it the second-worst performing stock in the S&P 500, ahead of only health insurer Humana.
That will be enough for your daily report. From the New York Stock Exchange, I'm Remy Blaire of TheStreet.
