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Midday Stock Movers: Tesla, GM, Delta Plunge as Oil Surges on Iran

Oil prices surged over 10% after President Trump's speech indicated prolonged Iran conflict, driving market shifts. Energy stocks, including oil, LNG, and fertilizer companies, rose on supply disruption fears. Travel stocks, such as airlines and cruises, fell due to rising fuel costs and demand concerns. Tesla and General Motors declined on delivery misses and sales drops, compounded by oil price impacts. Nike continued sliding on a weak China sales outlook, while tech firms like Coherent and Lumentum gained. Additional moves included Wingstop's upgrade, Globalstar's rally on Amazon acquisition talks, and Penguin Solutions' earnings beat.

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Midday Stock Movers: Tesla, GM, Delta Plunge as Oil Surges on Iran

Midday trading saw sharp volatility as oil prices jumped over 10% following President Donald Trump's speech on the Iran conflict, boosting energy stocks while weighing on travel and automotive sectors.

Automotive Stocks

  • Tesla: Down 4% after Q1 deliveries of 358,000 vehicles fell short of the 370,000 expected by analysts, marking a 14% decline from the prior quarter.
  • General Motors: Slid over 3% after reporting a 9.7% year-over-year drop in Q1 sales, further pressured by rising oil prices and auto demand concerns.

Energy and Commodities

  • Oil producers: Diamondback Energy gained 2%, while APA, ConocoPhillips, and Chevron each rose about 1% on oil price surge.
  • LNG exporters: NextDecade jumped 6% and Cheniere Energy climbed 2% amid fears of Middle East supply disruptions.
  • Fertilizer stocks: CF Industries rose 1%, Intrepid Potash added 4%, and LSB Industries gained 1% due to concerns over Strait of Hormuz closures affecting supply.
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Technology

  • Optical transceiver makers: Coherent rose over 4% and Lumentum advanced over 5%, extending gains for a third consecutive day.

Consumer and Retail

  • Nike: Dropped over 2% after forecasting a 20% sales decline in China for the current quarter, following a 15% tumble earlier in the week.
  • Wingstop: Rose about 6% after Piper Sandler upgraded it to overweight with a $190 price target, citing an improved risk-reward profile.

Travel and Leisure

  • Cruise operators: Carnival fell 3%, Royal Caribbean dropped 1%, and Norwegian Cruise Line lost 2% on oil-driven cost concerns and demand fears.
  • Airlines: Delta Air Lines and Southwest Airlines each fell 2%, while United Airlines declined 3% due to higher fuel expenses.

Other Notable Movers

  • Blue Owl: Slumped 1% after capping redemption requests at 5% for two private credit funds facing unusually high withdrawals.
  • Globalstar: Rallied 9% on a Financial Times report that Amazon is in talks to acquire the company; Amazon shares were little changed.
  • Penguin Solutions: Jumped 13% after Q2 adjusted earnings of 52 cents per share beat the 42-cent consensus, with revenue at $343 million versus $339 million expected.
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