Tesla Leads Charge in Green Stock Rally After Senate Passes Bill
2022.08.08 17:54
Tesla Leads Charge in Green Stock Rally After Senate Passes Bill
(Bloomberg) — Electric vehicle and renewable energy stocks rallied in premarket trading on Monday after the US Senate passed a key tax, climate and health-care bill, which Democrats called the largest investment in fighting climate change ever made in the country.
Tesla Inc. (NASDAQ:TSLA) led the charge with its stock up 2.6%, with fellow EV makers Rivian Automotive Inc (NASDAQ:RIVN) and Lucid Group Inc (NASDAQ:LCID) and Detroit-based automakers Ford Motor Co (NYSE:F) and General Motors Co (NYSE:GM) also trading higher.
The bill extends a popular $7,500 per vehicle consumer tax credit for the purchase of electric vehicles, though new cars that cost more than $55,000 for pickups and $80,000 for SUVs won’t qualify for these credits.
Renewable energy companies also stand to benefit from generous tax credits, sending shares of solar energy firms First Solar Inc (NASDAQ:FSLR), ReneSola Ltd (NYSE:SOL) and Sunrun Inc (NASDAQ:RUN) higher in trading before the bell. Meanwhile, shares of hydrogen and fuel cell company Plug Power Inc (NASDAQ:PLUG) were up 2.4%.
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