Why Canoo, Lucid, and Fisker Shares Are All Down Today
Thursday's trading session has been a lackluster one for all investors, with the S 500 down 0.75% as of 3:28 p.m. ET. It's proving to be a particularly rough day for shareholders of electric vehicle (EV) makers Canoo (NASDAQ: GOEV), Fisker (NYSE: FSR), and Lucid Group (NASDAQ: LCID) though, with those stocks down 6.9%, 3.9%, and 4.9% (respectively) in the wake of pushback against President Joe Biden's pro-EV agenda combined with the prospect of a rekindled trade war with China and disappointing domestic demand for electric vehicles.
Don't look for company-specific reasons these three stocks are more than a little in the red today. You won't find them. Rather, take a step back and look at the rapidly changing bigger picture.
One of these red flags now working against the three companies is the prospect of renewed trade tensions with China. Although the announcement was made on Monday, the Fourth of July holiday obscured China's Commerce Ministry's recent decision to restrict exports of gallium and germanium. While added difficulty in sourcing the two metals hurts the chipmaking industry the most, electric vehicle makers are also adversely impacted.
Source Fool.com
