Tesla is on track for its best day since 2021, with shares soaring by about 17% in early trading. The electric vehicle maker cleared a key hurdle in China, paving the way for the full rollout of its driver-assistance technology in the country. This marks Tesla’s biggest one-day gain since March 2021 and the ninth best day in the stock’s history.
Despite the rally, Tesla shares are still down more than 20% in 2024. The positive news from China has boosted investor confidence in the company’s future prospects.
In other news, small-cap stocks are outperforming larger indexes, with the Russell 2000 climbing 0.7% compared to the S&P 500’s 0.3% gain. However, the Russell 2000 has lagged in longer timeframes, dropping more than 5% in April and 0.6% lower on the year.
Overall, stocks are clawing back some of their April losses, with the three major averages still tracking to end the month in the red. Despite this, they have gains for the year, highlighting the strength of the first-quarter climb.
In premarket trading, Paramount and Domino’s Pizza saw significant gains after strong earnings reports. Paramount’s board is reportedly preparing to fire CEO Bob Bakish, while Domino’s reported earnings per share that beat analyst expectations.
Additionally, Philips shares surged after announcing a $1.1 billion settlement for injury claims related to the recall of sleep apnea devices. The stock had previously slid more than 9% since the start of 2024.
Overall, the market is showing signs of resilience and optimism, with various sectors seeing positive movement and investors reacting positively to recent developments.
