Lost Price

Monday, October 24, 2022

Tesla Cuts Prices in China in Sign of Slowing Demand - The New York Times

Shares of the company slumped as investors worried about increasing competition.

Tesla on Monday cut prices for its cars in China, a sign of intensifying competition in the world’s largest car market that provoked a slump in the company’s shares.

Tesla’s Chinese website was offering the Model 3 sedan on Monday for a starting price of 265,900 renminbi, or $36,600, including government subsidies, a 5 percent reduction. The Model Y sport utility vehicle was advertised at 288,900 renminbi, a 9 percent cut.

Tesla shares fell more than 6 percent before recovering a little as the price cuts reinforced fears among investors that the company’s profitability and dominance of the electric vehicle market was threatened by slowing economic growth and increased competition. Until recently, strong demand for Tesla cars had allowed the company to frequently raise prices.

In China, Tesla faces competition from domestic companies like BYD, SAIC Motor and Nio, which are also pushing into the European market with more affordable electric vehicles. The Chinese government has promoted its electric vehicle and battery makers, seeing the shift in technology as a chance to break into the global market and challenge established Japanese, German, Korean and U.S. carmakers.

Although China has the world’s largest car market, Chinese automakers are small players in the rest of the world. Investors closely monitor Tesla’s performance in China because the country is seen as having far more growth potential than Europe or the United States.

Tesla shares have fallen 12 percent since Wednesday, when the company reported third quarter profit figures that disappointed Wall Street. Although its earnings in the third quarter doubled from a year earlier, to $3.3 billion, investors had expected more.

Investors have been concerned about problems that Tesla has encountered increasing production at new factories near Austin, Texas, and Berlin. “Factory ramps take time,” Tesla told investors last week.

Tesla stock is also under pressure because traders widely expect that the company’s chief executive, Elon Musk, will have to sell more shares to come up with the money he needs to close his purchase of Twitter by Friday.

For car buyers, the Tesla price cuts in China could be good news. Popular electric models like the Ford Mach-E, Hyundai Ionic 5 or Volkswagen ID.4 have been difficult to find, and there are reports of dealers demanding thousands of dollars more than the retail prices suggested by manufacturers.

The market may be shifting as automakers produce more cars because they have fewer supply chain problems, and rising interest rates reduce demand by raising monthly car payments sharply.

Wait times for Teslas have already been shrinking, in part because the company was able to increase production at its factory in Shanghai, which had been hit by slowdowns related to pandemic lockdowns.

Tesla’s Chinese website tells potential buyers they could receive a Model Y in as little as a week. The United States website tells buyers they could receive a Model 3 as early as this month. Previously, Tesla buyers had to wait several months.

Adblock test (Why?)

from "price" - Google News https://ift.tt/cqJMXWs
via IFTTT

What They Are Reading in the States: Gas Prices Continue to Fall Across the Country - The White House

Across the country, local news outlets are reporting on declining gas prices as the President continues to take action to lower them in the face of Putin’s Price Hike and other supply challenges.

Gas prices have declined by an average of $1.22 per gallon nationwide since their June peak – a decline of 24% over more than 18 weeks. There are now 38 states and the District of Columbia with average gasoline prices of $3.99 or less, with more than two-thirds of all states boasting prices under $3.79. Nine states have prices of $3.39 or less and 15 states have average gasoline prices of $3.49 or less.

President Biden is committed to doing everything in his power to bring prices down for American families. This includes the President’s announcement to extend the release of oil from the Strategic Petroleum Reserve through December, his intention to repurchase oil around $70/barrel to replenish the SPR, and his call for oil and gas companies to pass their savings from declining oil and wholesale gas prices on to consumers at the pump.

Read below for a sampling of the coverage:

Arkansas

KAIT (ABC/NBC/CW Jonesboro, AR): Arkansas gas prices slip a few more cents Arkansas motorists are paying a little less this week to fill up their gas tanks…GasBuddy.com reported Monday that the average price of regular unleaded gasoline fell 6.7 cents in the last week to $3.28…National prices fell 9.3 cents a gallon in the last week to an average of $3.77.

California

Los Angeles Times: Los Angeles gas prices fall for 16th day in a row, likely to keep dropping “A lot of the problems that led to a surge in prices have been addressed,” said Patrick De Haan, an oil and gas analyst for GasBuddy. “It’s been a pretty nice drop, and pretty quick really. … Barring any drastic changes to the market, De Haan said he expects prices will continue to decrease across Los Angeles and California.

Georgia

WAGA (FOX Atlanta, GA): Georgians see some relief as gas prices continue declining Monday, AAA reports that the average price for a gallon of unleaded gas in Georgia has dropped to $3.20 – a decrease of 5 cents compared to a week ago, 7 cents less than in September, and 3 cents less than the same time in 2021…It now costs Georgia drivers $48 to fill up a 15-gallon tank with regular gasoline – 50 cents less compared to a year ago…The average gas price in Georgia still remains much lower than the national average, which on Monday was $3.78 for a gallon.

Iowa

KWWL (NBC Eastern Iowa): Gas prices fall 7.1 cents in Iowa this week, $3.63 state average per gallon Average gas prices in Iowa fell 7.1 cents this week, marking a statewide average of $3.63 per gallon, according to the latest GasBuddy survey…Prices in Iowa are 16.8 cents per gallon higher than a month ago, and are 55.3 cents higher per gallon than a year ago…The national average price per gallon fell 5.4 cents in the last week, averaging $3.86.

Michigan

WZZM (ABC Grand Rapids, MI): Michigan gas prices drop 16 cents since last week Adrienne Woodland, spokesperson for AAA, says this downward trend could continue…”Michigan motorists continue to see pump prices decline with some metro areas across the state seeing averages below $4 a gallon,” Woodland said. “If demand continues to remain low, as oil prices slide, drivers could see pump prices continue to come down.”

Minnesota

WJON (Central Minnesota): Gas prices falling as seasonal demand declines Average gas prices have declined for the second week in a row…Average gasoline prices in Minnesota have fallen 8.1 cents per gallon in the last week, averaging $3.66…The national average has fallen 9.3 cents in the last week, averaging $3.77…Gas Buddy says with oil prices struggling a bit after reaching $93 after OPEC’s decision to cut oil production, many regions could see falling gas prices again this week as demand continues to decline seasonally.

North Carolina

WBTV (CBS Charlotte, NC): Charlotte gas prices fall nearly 8 cents over past week
The average price of a gallon of regular gas in Charlotte fell 7.9 cents over the last week, sitting at $3.51 as of Monday, officials said…In North Carolina, the average price of a gallon of gas was $3.42, down 6.1 cents from last week’s $3.48 a gallon, according to GasBuddy.

Ohio

WSYX (ABC/FOX Columbus, OH): Gas prices in Columbus drop nearly 14 cents per gallon Monday

Columbus gas prices have dropped in the past week, GasBuddy reports…The latest weekly report from Gas Buddy says that average gasoline prices in Columbus fell 13.8 cents in the last, averaging $3.67 a gallon Monday.

Oregon

KTVZ (NBC/CW Central Oregon): AAA: Oregon gas prices down 22 cents a gallon in past week, second-biggest drop in U.S.
Oregon and other West Coast states are seeing some of the biggest weekly gas-price decreases in the nation, AAA Oregon/Idaho reported Tuesday…Gasoline supplies in the area are returning to normal as regional refinery issues are resolved. they said. In addition, falling crude oil prices and demand for gas in the U.S. are also helping to push pump prices lower.

Tennessee

Chattanooga Pulse: Chattanooga Gas Prices Fall Nearly Nine Cents A Gallon Over The Past Week
Average gasoline prices in Chattanooga have fallen 8.6 cents per gallon in the last week, averaging $3.20/g today, according to GasBuddy’s survey of 170 stations in Chattanooga…The national average price of gasoline has fallen 9.3 cents per gallon in the last week, averaging $3.77/g today. The national average is up 10.2 cents per gallon from a month ago and stands 41.2 cents per gallon higher than a year ago, according to GasBuddy data compiled from more than 11 million weekly price reports covering over 150,000 gas stations across the country.

Washington

KOMO (ABC Seattle, WA): Gas prices drop for 2nd straight week in Seattle, Washington state, nationally
Gas prices dropped 18.7 cents per gallon over the past week in Seattle, according to GasBuddy’s weekly survey of 775 stations in the city…The cheapest gas in the city on Sunday was $3.99 a gallon, while the most expensive was $6.29 a gallon…This drop marks the second consecutive week of declines in the area…Nationally, the average dropped 9.3 cents to $3.77 a gallon.

Wisconsin

WLUK (FOX Green Bay, WI): Gas prices drop for second straight week
Average gasoline prices in Green Bay have fallen 8.9 cents per gallon in the last week, averaging $3.52/g today, according to GasBuddy’s survey of 127 stations in Green Bay…”Average gas prices have declined for the second straight week with significant declines in the West and Great Lakes having an oversized effect on the drop in the national average,” said Patrick De Haan, head of petroleum analysis at GasBuddy.

###

Adblock test (Why?)

from "price" - Google News https://ift.tt/FYDa7LS
via IFTTT

Supply Down, Price Capped, Then What? - Econlib

French trade unions, exercising their state-granted, state-protected privileges, have been blockading some fuel depots in that country. Many service stations have been running out of gasoline and diesel. Road users who have more need for gasoline (taxi drivers or commuters, for example) are forbidden to implicitly bid up its price in order to divert it from less imperative demands; the market, when allowed to be free, is a continuing and silent auction. How is the prohibition imposed? Gasoline and diesel prices in France are controlled by a government formula on the basis of accounting cost.

What happens then? A first-year economics student should be able to immediately answer: a shortage develops. “Shortage” means that quantity demanded is higher than quantity supplied at the legal price, and the cost of time spent in queues or search or of unsatisfied demand replaces market prices in rationing demand.

Testimonies are clear, but many don’t understand the causes of what is happening (“France Battles to Avoid Winter of Discontent After Fuel Strike Chaos.” Financial Times, October 14, 2022):

In the northern French city of Dunkirk, near a vast fuel depot hit by strikes for the past three weeks, shortages at petrol stations have become so severe that taxi driver Saïd Fertakh has seen his earnings dwindle as he spends time trying to find somewhere to fill up his car.

“It’s becoming a struggle,” Fertakh said after filling up at one newly replenished station, where there was a long line of truckers and other motorists. “I spent an hour in a queue last week. I’ve had to say no to some customers because I needed to find somewhere to refuel.” …

Many Americans should understand: something similar happened here in the early and again in the late 1970s, because of respectively federal price controls and price controls in certain states.

Other consequences follow from, and to extent of, control of prices and production:

But [the government] also resorted this week to rarely used legal orders to force some critical fuel workers back to the depots. The move was sharply criticised by unions and led the CGT to extend its strike to another refinery.

“We seem to be going back to a time of masters and slaves, where you have to work, you have no other choice,” said Benjamin Tanges, a CGT representative at the Total depot near Dunkirk. …

Striking workers can face six-month prison sentences and fines if they do not comply with the so-called requisition orders.

Of course, nobody is forced to work for an oil company and to go on strike (in France, trade unions may not prevent their members from reporting to work during a strike). The CGT representative has it exactly backwards. The CGT (Confédération générale du travail) is a trade union, formerly of communist obedience, now simply socialist. They obviously did not read Friedrich Hayek’s 1944 book The Road to Serfdom, which explained how a state (or its trade-union agents) with the central-planning power to decide what to produce and to impose a “just redistribution” of income would have to direct workers to unfilled jobs. How else to make sure that what the consumers (or the government) want will be produced in the right quantities? Hayek quotes Richard Acland, founder of the socialist British Common-Wealth movement:

It must be the community as a whole which will decide whether or not a man shall be employed upon our resources, and how and when and in which matter he shall work.

In his book Capitalism, Socialism and Democracy, Joseph Schumpeter, who apparently believed that socialism could replace capitalism, suggested that, in an ideal socialist system,

a strike would be mutiny.

We should pity the poor individual who doesn’t have the theoretical tools, or the correctly-interpreted practical experience, to understand not only what economic planning implies but also, more simply, what happens when supply decreases and prices are capped. He sees the resulting shortage as an act of God, or of some greedy capitalists, or of Leviathan who does not do his job of protecting him at the detriment of others. We should make efforts to teach him elementary economics. But James Buchanan is probably right that maintaining a free society requires that individuals understand “simple principles of social interaction,” which entails “a generalized understanding of basic economics”; those who don’t should be willing to defer to those who do understand.

Adblock test (Why?)

from "price" - Google News https://ift.tt/SC32Zku
via IFTTT

Texas Weekly Gas Price Update – The Gilmer Mirror - Gilmer Mirror

Average gasoline prices in Texas have fallen 8.6 cents per gallon in the last week, averaging $3.17/g today, according to GasBuddy’s survey of 13,114 stations in Texas. Prices in Texas are 7.0 cents per gallon higher than a month ago and stand 13.8 cents per gallon higher than a year ago. The national average price of diesel has risen 4.0 cents in the last week and stands at $5.30 per gallon.

According to GasBuddy price reports, the cheapest station in Texas was priced at $1.37/g yesterday while the most expensive was $4.49/g, a difference of $3.12/g. The lowest price in the state yesterday was $1.37/g while the highest was $4.49/g, a difference of $3.12/g.

The national average price of gasoline has fallen 9.3 cents per gallon in the last week, averaging $3.77/g today. The national average is up 10.2 cents per gallon from a month ago and stands 41.2 cents per gallon higher than a year ago, according to GasBuddy data compiled from more than 11 million weekly price reports covering over 150,000 gas stations across the country.

Historical gasoline prices in Texas and the national average going back ten years:
October 24, 2021: $3.03/g (U.S. Average: $3.36/g)
October 24, 2020: $1.84/g (U.S. Average: $2.15/g)
October 24, 2019: $2.27/g (U.S. Average: $2.61/g)
October 24, 2018: $2.59/g (U.S. Average: $2.84/g)
October 24, 2017: $2.25/g (U.S. Average: $2.45/g)
October 24, 2016: $2.05/g (U.S. Average: $2.22/g)
October 24, 2015: $1.95/g (U.S. Average: $2.20/g)
October 24, 2014: $2.85/g (U.S. Average: $3.06/g)
October 24, 2013: $3.07/g (U.S. Average: $3.31/g)
October 24, 2012: $3.40/g (U.S. Average: $3.62/g)

Neighboring areas and their current gas prices:
Midland Odessa- $3.30/g, down 3.4 cents per gallon from last week’s $3.34/g.
San Antonio- $3.06/g, down 6.7 cents per gallon from last week’s $3.13/g.
Austin- $3.15/g, down 5.8 cents per gallon from last week’s $3.21/g.

“Average gas prices have declined for the second straight week with significant declines in the West and Great Lakes having an oversized effect on the drop in the national average,” said Patrick De Haan, head of petroleum analysis at GasBuddy. “With oil prices struggling a bit after reaching $93 after OPEC+’s decision to cut production, many regions could see falling gas prices again this week as demand continues to decline seasonally, especially if more data points to a significant economic slowdown. While gasoline prices have seen a large drop, diesel prices have been somewhat mixed, with prices heading higher in the Northeast as inventories drop to extremely tight levels ahead of the heating oil season. Motorists are reminded that the decline in gasoline prices is seasonal and should continue into the fall, and is unrelated to the coming election. Seasonality is king in driving prices, not the desires or hopes of politicians.”

GasBuddy is the authoritative voice for gas prices and the only source for station-level data. GasBuddy’s survey updates 288 times every day from the most diverse list of sources covering nearly 150,000 stations nationwide, the most comprehensive and up-to-date in the country. GasBuddy data is accessible at http://prices.GasBuddy.com.

SOURCE GasBuddy

Adblock test (Why?)

from "price" - Google News https://ift.tt/kQnI627
via IFTTT

Sunday, October 23, 2022

Tesla cuts prices in China by up to 9% as softer demand, price war loom - Reuters

SHANGHAI, Oct 24 (Reuters) - Tesla (TSLA.O) has slashed starter prices for its Model 3 and Model Y cars by as much as 9% in China, reversing a trend of increases across the industry amid signs of softening demand in the world's largest auto market as analysts warn of a price war.

The price cuts, posted in listings on the electric vehicle (EV) giant's China website on Monday, are the first by Tesla in China in 2022, and come after Tesla began offering insurance incentives to buyers last month.

The move to reduce some prices by nearly a tenth comes after Tesla Chief Executive Elon Musk said last week that "a recession of sorts" in China and Europe was weighing on demand for its electric cars.

Data on Monday showed retail sales in the world's no. 2 economy grew 2.5% in September, below the expected 3.3% rise and less than half August's 5.4% growth. Analysts are warning of growing inventory glut in China, where auto sales growth slowed in September while EV sales rose at their slowest pace in five months. read more

The U.S. automaker and several Chinese rivals have hiked prices several times since last year amid rising raw material costs. But Tesla has also regularly adjusted prices of its cars in China, including reductions, reflecting government subsidies.

Tesla told Reuters it was adjusting prices in line with costs. Capacity utilisation at its Shanghai Gigafactory has improved, while the supply chain remains stable despite the impact on the economy of China's stringent zero-COVID restrictions, leading to lower costs, it said.

The starting price for the Model 3 sedan was reduced to 265,900 yuan ($36,727) from 279,900 yuan, while that for the Model Y sport utility vehicle was cut to 288,900 yuan from 316,900 yuan, the product prices listed on its Chinese website showed.

Tesla upgraded its Shanghai factory earlier this year in a development that brought the factory's weekly output capacity to around 22,000 units compared with levels of around 17,000 in June, Reuters previously reported.

Tesla delivered 83,135 China-made EVs in September, an 8% increase from August, and set an output record for the Shanghai factory since production began in December 2019. read more

But China Merchants Bank International (CMBI) analysts warned last week 2023 would bring more competition to the EV sector, saying that it expected to see sales growth for EVs and hybrids on a combined basis to drop below 50%.

"The price cuts underscore the possible price war which we have been emphasising since August," said Shi Ji, an analyst with CMBI.

"It is expected given Tesla's capacity expansion in 3Q22 and we expect other new energy vehicle (NEV) makers to follow suit, as China's NEV capacity is to increase significantly next year."

($1 = 7.2399 Chinese yuan)

Reporting by Zhang Yang and Brenda Goh; Editing by Kenneth Maxwell

Our Standards: The Thomson Reuters Trust Principles.

Adblock test (Why?)

from "price" - Google News https://ift.tt/cOkXbQI
via IFTTT

Bitcoin price hits $19.5K into weekly close as trader predicts 'green week' - Cointelegraph

There's reason to stay bullish on BTC as the weekly candle close approaches and price action breaks a dull status quo.

Bitcoin (BTC) saw fresh gains on Oct. 23 as the weekend delivered a potential launchpad for the bulls.

*BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView*

$10 million liquidations as Bitcoin steps higher

Data from Cointelegraph Markets Pro and TradingView followed BTC/USD as it spiked above $19,500 as the weekly close approached.

While modest, the $300 move punctuated otherwise flat trading behavior, Bitcoin notoriously rangebound on daily timeframes.

Now, hopes were high that the market would offer more solid price action in the coming days, $20,000 remaining out of reach for over a week.

"Green week ahead, preferably first closing the current CME gap," popular trader Crypto Ed told Twitter followers in an update at the time of writing.

An accompanying chart showed resistance in play around $19,500.

"Still moving higher from the green box. For now rejected exactly at that horizontal," he added.

*BTC/USD annotated chart. Source: Crypto Ed/ Twitter*

Analytics account On-Chain College meanwhile noted that even such an hourly uptick had managed to spark comparatively large number of liquidations, these setting a multi-day record.

"Around $6 million in Bitcoin Short Liquidations over the last hour. This is the highest short liquidation level in 10 days," it confirmed alongside data from on-chain analytics platform CryptoQuant.

*BTC/USD annotated chart. Source: On-Chain College/ Twitter*

Weekly close could set multi-week high

In terms of weekly closes, Oct. 23 looked set to be another close-run candle within an increasingly compressed cluster.

Should BTC/USD end the week above $19,440, however, it would nonetheless represent the highest weekly close since early September.

*BTC/USD 1-week candle chart (Bitstamp). Source: TradingView*

In an update, trading suite Decentrader nonetheless described Bitcoin as "strong" going into the close, with multiple trading indicators bullish.

"I do believe the bottom is in for Bitcoin, despite the majority believing that we'll hit $14K or lower," Michaël van de Poppe, founder and CEO of trading firm Eight, meanwhile added in thoughts on the day.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Adblock test (Why?)

from "price" - Google News https://ift.tt/pEGV3Yx
via IFTTT