© Reuters.
NEW YORK (Dpa-AFX) – After the ups and downs of the day, US stock exchanges (ETR:) are heading for a slow opening on Wednesday. Half an hour before trading began, brokerage IG valued the industrials up 0.1% to 33,271 points, which would mean the major index will continue its modest gain on Tuesday. IG sees the weak value on the eve virtually unchanged at 10,823 points.
With electric car maker Tesla (NASDAQ:) and airline Southwest Airlines (NYSE:) mid-week focus was on companies that had already been conspicuous the previous day.
Tesla shares apparently benefited from some investors hoping for a bargain: After pushing a seven-day losing streak to its lowest level since August 2020, it rose 2.3% ahead of market. Only the future will tell if the company’s stock is indeed a bargain — after all, Tesla is still valued higher than BMW (ETR:), Mercedes-Benz (ETR:), and Volkswagen (ETR:) combined.
And even if the optimists prevail after the negotiations begin, it would be nothing more than an attempt at stabilization. Because since the beginning of the year, the price has fallen by almost 70 percent, which means that Tesla’s status as a major loser on the Nasdaq 100 in 2022 is certain. The technology barometer has “only” dropped by a full third over the same period.
Meanwhile, Southwest shows further losses of 1.3% after a 6% price decline. With a slew of flight cancellations and delays, the airline had shocked customers over the Christmas weekend and then investors and the US Department of Transportation on Tuesday, which announced an investigation. According to the company, the problems are likely to continue for now. While other airlines (NYSE:) are also suffering from harsh winter weather across much of the US, they are not seeing as many outages.
