Shares on Wall Street sold off Friday, with the benchmark closing to its lowest level in nearly two weeks amid concerns about a tighter Federal Reserve and the ongoing coronavirus health crisis.
Investors should expect more in the upcoming holiday-shortened Christmas week as they monitor new developments affecting markets due to the Fed's decision to accelerate the winding down, and COVID fronts.
Key economic data is also on the agenda, including the latest report on (PCE) inflation, as well as earnings from well-known companies such as Nike (NYSE:), Micron Technology (NASDAQ:), Rite Aid (NYSE: ) , and BlackBerry (NYSE:).
Regardless of which direction the market goes, below we highlight one stock that is likely to be in high demand and another that could fall further.
Remember, however, that our timetable is for the coming week only. a 14-month low on Friday – will come into focus this week after the electric vehicle (EV) company made a series of positive announcements at its "Nio Day 2021" event held this weekend.
The EV startup unveiled its latest and most affordable electric vehicle, called the ET5, at its annual event that took place Saturday at the Olympic Sports Center in Suzhou, China.
The mid-sized EV sedan is the fifth mass-produced model from the Chinese electric car maker to hit the market and is widely regarded as a potential competitor to the Tesla (NASDAQ:) Model 3, the Xpeng (NYSE:) P7 and P5, the BYD (OTC:) Han, as well as BMW's (OTC:) 3 Series and Audi's (OTC:) A6.
Nio's ET5, which has a range of 341 miles (550 kilometers) with its standard battery pack, costs about $51,450 (¥328,000) before government subsidies, and $40,470 (¥258,000) with a battery subscription. ET5 deliveries will start in September 2022.
Founder and chairman William Li also said the EV maker will begin deliveries of the luxury ET7 sedan model, unveiled on 'Nio Day 2020' on March 28, 2022. The ET7 has a range of up to 620 miles (1,000 kilometers), rivaling the Lucid (NASDAQ:) Air and Tesla Model S, which have ranges of up to 520 miles and 412 miles, respectively.
In addition, the Chinese electric car company announced that it plans to sell its electric vehicles in 25 countries by 2025, including Norway, Germany, Sweden and Denmark.
NIO shares fell to their lowest level since October 2020 at $28.02 on Friday before rallying to end the session at $30, giving the Shanghai, China-based electric vehicle company a market cap of Earned $47.7 billion.
After gaining more than 1.100% in 2020, Nio shares are down 38% in 2021 and 55% from their record high of 66.99 on January 11, amid an aggressive reset in valuations in the entire EV industry.
Stock To Dump: Las Vegas Sands
Las Vegas Sands (NYSE:) has seen its shares steadily collapse to new lows in recent sessions. And the coming week is expected to be just as bleak due to the negative impact of several factors plaguing the casino giant.
LVS shares — down nearly 8% in the past month and 40% so far — closed Friday's session at $35.44, not far from the recent 21-month low of $33.75 which was reached on December 2. is nearly 47% below the post-pandemic high of $66.77 reached on March 3
At current levels, Las Vegas Sands has a market cap of approximately $27.1 billion, making it one of the world's largest casino and resort operators.
Investor sentiment towards the already hard-hit name took a hit as the ruling Communist Party of China intensified its crackdown on the country's Macau casino district, the world's largest gambling hub. Las Vegas Sands sold its Las Vegas properties earlier this year for $6.25 billion to focus even more on its operations in Asia, where it had been running junket operations.
Macau's Gaming Inspection and Coordination Bureau recently ordered the city's embattled casino operators, which often bring in high-rollers and high-spending customers from mainland China, to close and close their VIP rooms. stop offering credit for gambling loans. Las Vegas Sands is expected to end its junket business by the end of the year.
The increasing scrutiny is part of a campaign launched by the Chinese authorities to rein in the country's wealthy gambling moguls amid allegations of money laundering.
To make matters worse, COVID infections are once again on the rise in China and Hong Kong, fueled by the spread of the highly transmissible Omicron variant, leading several cities in the country to announce new travel restrictions and lockdowns.
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Taking that into account, LVS shares could fall further in the coming days.
