Virgin Orbit, the aerospace company of the well-known British businessman and billionaire Richard Branson, fell more than 22 percent on the New York stock exchanges on Tuesday.
The company has filed for bankruptcy after failing to raise funds to continue operations. In addition, the company suffered financial problems after a failed space rocket launch earlier this year.
On the other hand, Tesla showed a recovery of almost 2 percent. On Monday, the share of the producer of electric cars lost 6 percent after the publication of sales figures in the first quarter of this year. Investors feared the company would have to cut prices further to boost sales. But now the markets seem somewhat reassured.
On Tuesday, the online marketplace for handmade and vintage products Etsy was also popular with investors. The stock rose about 5 percent after a favourable investment report from investment bank Piper Sandler.
On the other hand, bank stocks such as JPMorgan Chase, Goldman Sachs and Bank of America lost almost 1 percent. Jamie Dimon, CEO of investment bank JPMorgan Chase, says the banking crisis is over. “And even when it’s behind us, it will be impacted for years to come,” he wrote in a letter to shareholders. Still, Dimon said it’s nowhere near as bad as during the 2008 financial crisis.
The letter comes at a time when investors are looking for clues about the state of the financial system and the impact of the recent problems at banks on the day-to-day operations of financial institutions. Overall, sentiment on Wall Street was slightly negative in early trading. The Dow Jones index was down 0.1 percent at 33,574 points. The broader S&P 500 also fell 0.1 percent to 4,122 points, and the technology exchange Nasdaq fell 0.2 percent to 12,165 points.
The euro’s exchange rate also showed a slight increase against the dollar. After the sharp rise on Monday, oil prices also continued their upward trend. OPEC+ wants to prop up prices with production cuts of more than a million barrels per day from May. As a result, a barrel of US oil costs 1.1 percent more at $ 81.34. Brent oil became 0.9 percent more expensive at USD 85.70 per barrel.
