Investing.com -- Tesla is set to start to Big Tech earnings season later in the day, while General Motors is due before the open. Futures point to a positive open on Wall Street, while the global EV market is expected to grow substantially this year.The electric vehicle giant earlier this month reported an 8.5% decline in deliveries and rising inventories, and only this week announced the latest in a series of price cuts globally, further eating into margins, as well as major layoffs.
Its valuation has historically been based largely on hopes for mass-market EV sales and breakthroughs in self-driving vehicles. GM is likely to get a lift from strong demand for its highly profitable Chevrolet and GMC brand pickup trucks and SUVs. This could result in the company raising its annual forecasts, or, at the very least, guide toward the top of its previously announced targets.
"Tight margins, volatile battery metal prices, high inflation, and the phase-out of purchase incentives in some countries have sparked concerns about the industry’s pace of growth, but global sales data remain strong," the Paris-based energy watchdog said. The Organization of Petroleum Exporting Countries and allies, a group known as OPEC+, was seen maintaining its pace of production cuts until at least end-June, while Ukrainian strikes on major Russian fuel refineries had hit exports.