Three relevant items this morning.
Tesla bears are feeling their oats this morning — thanks to a slowdown in business. Shares are now spiraling lower — off by 10.5%. I haven’t seen a stock this hated since Lehman.
Tesla says it delivered 50,900 Model 3 cars in the first quarter, below the 52,450 analysts expected in a consensus estimate from FactSet.
Overall deliveries also fell short.
“Volume expectations for the company’s products in 2019 are too high with consumer demand likely lower as subsidies phase out in the US,” Goldman Sachs analyst David Tamberrino says.
“Tesla’s 1Q19 vehicle production & deliveries report was substantially worse than expected,” J.P. Morgan analyst Ryan Brinkman says.
The good folks at Lehman are raising the minimum wage to $13 per hour. Mind you, large corporations do not raise wages out of the kindness of their black hearts. We’re at full employment as a nation and they need to entice new plebs to grease the wheels of their evil machines.
Target said Thursday it is increasing its minimum hourly wage by a dollar to $13 in June for all current and new employees as part of its goal to hit $15 an hour by the end of 2020
Applications for unemployment benefits sunk to a 49 year low.
The number of Americans filing applications for unemployment benefits dropped to a more than 49-year low last week.
The data pointed to sustained labor market strength despite slowing economic growth.
Initial claims for state unemployment benefits dropped to 202,000 for the week ended March 30, the lowest level since early December 1969, the Labor Department said.
All of this points to one thing: wage growth. With wage growth, perhaps we can finally get a bump in inflation — something the dovish Fed is probably shitting their pantaloons over.