What's up with Tesla stock today?

Tesla Inc TSLA Shares are marginally down 0.50% Tuesday morning at $161.02 from the session high of $165.49. The stock may trade lower on Tuesday amid broad market weakness as traders and investors monitor the ongoing uncertainty in the regional banking sector.

Tesla could also be trading lower as traders and investors anticipate this week Federal Open Market Committee (FOMC) rate decision. The FOMC is widely expected to approve at least one more rate hike of 0.25% at the end of its meeting on Wednesday.

The rate hike itself is unlikely to move financial markets much, but the language used by the FOMC in its policy statement could a main catalyst.

As interest rates rise, the value of future cash flows for growth stocks like Tesla decreases, which in turn lowers the value of the stock.

See also: Has Musk Settled a $10,000 Defamation Lawsuit? Tesla sets the record straight

According to data from Gasoline ProTSLA has a 52-week high of $318.50 and a 52-week low of $101.81.

Published in: Newswhy it moves

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