Nio suspends production amid COVID lockdown

5:57 PM 11 April 2022

Nio (NIO.US) stock fell sharply at the beginning of today's session after the China-based electric car producer suspended production  after several of its supply chain partners in China had to shut down operations under lockdowns, according to CnEvPost. These news overshadowed record deliveries for the quarter ended in March - which jumped 37.5% YoY and 63% sequentially. Investors fear that a production halt will delay deliveries in the upcoming months which in turn could jeopardize the company's plans for 2022 and its financial results. Separately, EV maker plans to increase prices of its cars and battery-as-a-service (BaaS) program from May 10.

Nio (NIO.US) stock launched today's session with a bearish price gap, however buyers managed to regain control around the earlier broken upper limit of the descending channel at $17.85. At the moment stock erased early losses and if current sentiment prevails upward move may accelerate towards local resistance at $24.00. Source: xStation5

Share:
Back

Join over 1 600 000 XTB Group Clients from around the world

The financial instruments we offer, especially CFDs, can be highly risky. Fractional Shares (FS) is an acquired from XTB fiduciary right to fractional parts of stocks and ETFs. FS are not a separate financial instrument. The limited corporate rights are associated with FS.
This page was not created for investors residing in Brazil. This brokerage is not authorized by the Comissão de Valores Mobiliários (CVM) or the Brazilian Central Bank (BCB). The content of this page should not be characterized as an investment offer in Brazil or for investors residing in that country.
Losses can exceed deposits