ADVERTISEMENT
Tesla Turmoil Hits Its Bonds as Well as Stock Price: Chart
Tesla Turmoil Hits Its Bonds as Well as Stock Price: Chart
29 Mar 2018, 06:05 AM IST
(Bloomberg) -- A spate of bad news on Tuesday not only hit Tesla Inc.’s shares but also its bonds. The automaker’s benchmark issue maturing in 2025 slumped by 3.4 percent, the biggest one-day drop since the bonds were issued in August, taking its yield to 7.17 percent. That’s a very important number for two reasons, writes Bloomberg Gadfly’s Liam Denning: First, it’s a spread of more than 440 basis points to the benchmark Treasury bond and, second, the spread pushes Tesla past it peers -- and not in a good way.
To contact the reporter on this story: Sophie Caronello in Washington at scaronello@bloomberg.net.
To contact the editors responsible for this story: Cesca Antonelli at fantonelli@bloomberg.net, Kenneth Pringle
©2018 Bloomberg L.P.
Get live Stock market updates, Business news, Today’s latest news, Trending stories, and Videos on NDTV Profit.
ADVERTISEMENT