In a notable upswing, auto stocks gained momentum following reports highlighting President-elect Donald Trump’s aides’ contemplation of imposing tariffs selectively across sectors. Meanwhile, FuboTV made headlines with a staggering 165% rise after confirming its strategic alliance with Walt Disney to merge their online live TV businesses. Monday’s premarket trading witnessed significant activity across various sectors, with automakers like Lucid Group and Ford Motor witnessing share increments of 3% and 2%, respectively. Tesla also experienced a more than 2% rise as the U.S. Treasury unveiled final rules for allocating billions in tax credits to hydrogen production companies.
Boeing’s stock climbed approximately 2% before the opening bell, benefiting from an upgrade to overweight by Barclays. At the same time, Citigroup’s shares increased by 2% due to a similar upgrade from Barclays. Xpeng’s U.S.-listed shares surged over 4% on the announcement of an expanded collaboration with Volkswagen in China, which also fueled a more than 5% increase in Volkswagen’s European shares.
Tech giants also joined the rally. Microsoft shares edged up by around 1% following Bernstein’s decision to lift its price target to $516. Plug Power continued its upward trajectory, adding about 6% in premarket trading after a robust 13% rally on Friday. Other tech firms like Broadcom and chipmakers Taiwan Semiconductor and Micron Technology saw gains of over 5%, with Nvidia and Advanced Micro Devices advancing nearly 3%.
The strategic decisions and upgrades across these sectors underscore a dynamic market environment. The discussions within the Trump administration regarding targeted tariffs have led to positive sentiments in the auto industry. Lucid Group and Ford Motor are among those reaping early benefits from this discourse. Tesla’s uptick aligns with the broader industry’s response to potential regulatory changes and government incentives promoting hydrogen technology.
Boeing’s recovery narrative is supported by analyst David Strauss, who anticipates a challenging 2024, potentially setting the stage for a rebound in the ensuing year. The aerospace giant’s performance reflects broader trends in the sector, where strategic upgrades play a crucial role in shaping investor confidence.
FuboTV’s massive leap underscores the impact of strategic partnerships in the media landscape. By aligning with Walt Disney, FuboTV aims to consolidate its position in the competitive live TV streaming market, driving substantial investor interest and confidence.
The positive trajectory observed in Citigroup’s shares highlights the influence of strategic upgrades on financial institutions. As Barclays raises its outlook, Citigroup is poised to capitalize on renewed investor interest and market optimism.
Xpeng’s partnership expansion with Volkswagen represents a significant step in strengthening its presence in China, a vital market for automotive growth. The collaboration has evidently boosted investor confidence, as reflected in the substantial share increases for both companies.
American Airlines also benefited from strategic analyst upgrades, gaining over 4% after TD Cowen elevated its rating to a buy. This move signals renewed optimism in the airline industry, which is navigating through post-pandemic recovery phases.
Featured image courtesy of The Africa Logistics
