- NYSE: NIO fell by 4.04% during Tuesday’s trading session.
- Nio hits social media and teases a new vehicle model.
- Toyota announces a major EV initiative that could have a ripple effect across Asia.
NYSE: NIO investors saw the volatility continue for the Chinese EV maker, as the stock fell sharply to extend its losing streak to two straight days. Shares of Nio fell by 4.04% on Tuesday and closed the trading day at $32.30. The popular stock is trading well below both its 50-day and 200-day moving averages and is currently mired in a bearish downtrend alongside much of the EV sector. All three major US indices were ravaged once again, falling for the second consecutive session to start the week. The NASDAQ led the way, shedding a further 1.14%, while the Dow Jones and S&P 500 dipped by 0.30% and 0.75% respectively.
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Nio’s downward pressure on Tuesday came despite the company taking to social media to tease the debut of a new model at the upcoming Nio Day Event. Most rumors about Nio unveiling a new model have been swirling around the ET5 sedan and the EF9 sports coupe. The image shows a silhouette of a vehicle with only the lights on, and those on social media have been speculating that the shape of the lights is more indicative of a sedan than a coupe. Still, Nio could have a complete surprise up its sleeve, so all eyes will be on the presentation on December 18th.
NIO stock price
Another factor that may have been affecting Nio investors was the announcement earlier on Tuesday that Japanese automaker Toyota is shifting its focus to electric vehicles. Toyota, one of the world’s largest and most influential automakers, is dedicating $30 billion USD to updating its fleet and plans to have 30 different battery-powered electric vehicles on the roads by 2030. Toyota went on to say that China is one of the markets it will be targeting for its rollout, which could mean a lot more competition for companies like Nio by the end of this decade.
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