Tesla stock drops nearly 10% over continued price cuts

Tesla stock (TSLA) drops nearly 10%, nearly $50 billion in market capitalisation, after Musk says the electric vehicle manufacturer will keep cutting prices in a bid to drive up demand in a weak economy. Focusing on sales growth rather than immediate profit, Musk said:

We’ve taken a view that pushing for higher volumes and a larger fleet is the right choice here versus a lower volume and a higher margin.

With this drop, Tesla’s market capitalization ending below Meta Platforms’ for the first time since 2021.