- NASDAQ:MULN plummeted on Tuesday's trading session amid a worsening mood.
- EV stocks were mostly trading lower as Tesla cooled off to start the week.
- Canoo announces its quarterly earnings date after officially signing on with WalMart.
Update: NASDAQ: MULN extended its bearish streak into the second straight day on Tuesday, plunging almost 15% to settle near two-month lows of $0.82. The MULN stock price took a beating in tandem with Electric Vehicle (EV) sector stocks, as investors refrained from placing bets on growth stocks ahead of the critical Fed rate hike decision and earnings reports from tech titans. The Fed is expected to hike the rates by 75 bps on Wednesday, with a slim chance of a 100 bps lift-off, as it remains on track to combat inflation amidst risks of recession. The EV stock failed to capitalize on news that the company will announce the F500 company deal next month. At its annual meeting held on Tuesday, Mullen’s Vice President of Marketing confirmed the EV maker is working on the vans and planning to deliver them again to the F500 company in August.
NASDAQ:MULN continued to see lower than average daily trading volume, as the EV startup stock hovers just above the $1.00 price level. On Monday, shares of Mullen Automotive were completely flat, and closed the trading session at $1.02. Stocks were mixed on Monday as the markets kicked off a pivotal week of big tech earnings as well as a further Fed rate hike. Overall, the Dow Jones inched higher by 90 basis points, the S&P 500 added 0.13%, and the NASDAQ was the lone losing index with a 0.43% loss for the session.
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Electric vehicle stocks mostly kicked the week off on the back foot as growth stocks paused ahead of big tech earnings. Tesla (NASDAQ:TSLA) slipped by 1.40%, despite announcing that it would be increasing its annual spending by $8 billion per year. Other EV stocks below water included Rivian (NASDAQ:RIVN), Lucid (NASDAQ:LCID), XPeng (NYSE:XPEV), and Canoo (NASDAQ:GOEV). Nio (NYSE:NIO) was one of the lone EV stocks in the green as the Chinese EV maker edged higher by 0.47%.
Mullen stock price
Speaking of Canoo, the EV truck and van maker reported that it had officially entered into a definitive agreement with retail giant WalMart (NYSE:WMT). The deal will see Canoo make 4,500 electric delivery vans for WalMart by 2023, with the option to increase that order to 10,000 over that same time period. WalMart is looking to go emission-free by 2040, so Canoo could see a lot more business if the retailer is impressed with its Lifestyle Delivery Vehicles (LDV). Canoo also announced it will be reporting its second quarter earnings on August 8th.
Previous updates
Update: NASDAQ:MULN collapsed on Tuesday, ending the day at $0.87 per share after losing 14.36%. Financial markets suffered from risk-off in the second day of the week amid lingering recession fears and as the focus shifts to the US Federal Reserve monetary policy decision and US growth figures.
The central bank is widely anticipated to hike the funds rate by 75 bps, although there is a chance of a 100 bps movement. The latter has become increasingly unlikely since the latest Fed meeting, as economic growth keeps deteriorating. Policymakers may not risk a recession to tame inflation. On Thursday, the country will release the first estimate of its Q2 GDP, expected to post a modest 0.4% quarterly advance.
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