Lucid Group, Inc. (NASDAQ:LCID) shares are trading lower Monday alongside several companies in the auto & auto component sector amid overall weakness as stocks continue to sell off following worse-than-expected May CPI data.
Inflation accelerated again in May as the headline CPI rose 8.6%, up from 8.3% in April and above average economist estimates of 8.3%. Core inflation, excluding food and energy prices, was up 6% in April, which was also above economist estimates of 5.9%.
An increase in U.S. Treasury yields has also weighed on the tech sector. Higher rates decrease the present value of future cash flows, which can negatively impact the valuations of growth stocks. The 10-Year Treasury yield was hovering around 3.371% at press time.
Lucid Group, Inc. is an automotive company, which is focused on designing, developing, manufacturing and selling of electric vehicle (EV), EV powertrains and battery systems in-house using its own equipment and factory.
LCID Price Action: Lucid Group, Inc. has traded between $57.75 and $13.25 over a 52-week period.
The stock was trading about 9.3% lower at $16.35 per share on Monday at the time of publication.
