On October 23, Tesla will report its quarterly earnings, becoming one of the first major U.S. tech companies to do so this earnings season. The announcement comes as the World Bank and IMF hold meetings in Washington, D.C., with markets assessing business activity ahead of the upcoming U.S. elections.
Tesla's stock has decreased by approximately 11% this year, while the S&P 500 has risen by 22.5%. Following a disappointing robotaxi presentation earlier this month, investor sentiment remains cautious.
In late July, Tesla's weak results, along with disappointing figures from Alphabet, prompted a sell-off in U.S. stocks. Investors are currently more optimistic about the U.S. economy due to strong labor data and a recent 50 basis point rate cut by the Federal Reserve. However, if Tesla's earnings report does not meet expectations, concerns about inflated tech sector valuations may resurface.