Tesla’s stock is rising in early trading Tuesday following positive comments from President Trump and supportive tweets from Elon Musk, easing investor concerns from last week’s dispute.
Shares of the electric vehicle maker increased by 2.1% to $314.75, while futures on the S&P 500 and Dow Jones Industrial Average decreased by 0.1% and 0.2%, respectively.
Tesla’s stock had fallen to $281.85 on Monday but closed at $308.58, a 4.6% increase. The late rally occurred after President Trump expressed support for Musk and indicated a willingness to communicate with the Tesla CEO.
Musk also showed support for the president’s policies regarding the L.A. protests and reposted critical comments about California Gov. Gavin Newsom.
Last week, Tesla’s shares dropped 17% due to disagreements between Musk and the president. By Monday’s close, the stock had recovered about 60% of the losses related to the feud.
Before the conflict, Tesla’s shares closed just above $344 on Tuesday, June 3.
Investors are now focusing on Tesla’s fundamentals, particularly the upcoming launch of a self-driving taxi service in Austin, Texas. Tesla bulls are optimistic that autonomous vehicles will drive a new phase of growth for the company.
As of Tuesday, Tesla’s stock was down about 24% year-to-date but up almost 75% over the past 12 months.
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