The stock market looks to the future, which is the genesis of the phrase often uttered by traders: “buy the rumor, sell the news.” That dynamic played out on Tuesday.
Tesla shares closed down 4.4% at $433.09 after introducing new, lower-priced Standard Model 3 and Model Y products. Shares rose more than 5% on Monday after Tesla teased an announcement over the weekend.
The two-day move sent Tesla shares up about $3 for the week.