Tesla bulls got exactly what they needed last week: blowout second-quarter figures from the electric car maker that helped justify a tripling in the company’s share price so far this year.
But the market reaction has once again left investors and analysts puzzled. Instead of powering yet higher after results that handily beat Wall Street estimates, Tesla shares suffered their first two-day run of declines in a month, shedding more than a tenth of their value.
The reverse course was a sign that the momentum driving a handful of US share prices is still poorly understood, and acts as a potential source of volatility for a broader stock market dominated by a small stable of companies.
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