Why Carvana Stock Was Sliding Today
Shares of Carvana (NYSE: CVNA) were falling again today, even though there was no company-specific news out on the online used car dealer. Instead, a stronger-than-expected jobs report sparked a sell-off as it convinced investors that the Federal Reserve was more likely to keep raising interest rates.
Carvana, which is bleeding cash and especially sensitive to interest rates, took the news worse than most. Shares were down 5.4% as of 11:15 a.m. ET today. At the same time, the Nasdaq was down 1.1%.
The November jobs report from the Bureau of Labor Statistics showed jobs growth remains robust even as the Federal Reserve has rapidly cranked up interest rates in order to bring inflation down, which should impact jobs growth.
Source Fool.com
