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Tesla Stock Drops After Trump Tax Bill Passes. There’s Another Vote to Watch. - Barron's

1. Tesla's stock fell 1.9% amidst House budget bill passing. 2. New bill imposes fees on electric vehicle owners, impacting Tesla negatively. 3. Senate to vote on California emissions regulation waiver, affecting EV standards. 4. California regulations are crucial for Tesla’s $2.9 billion credit sales. 5. Investors still optimistic about Tesla's AI-driven robotaxi launch in June.

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FAQ

Why Bearish?

The budget bill's fees and deregulation threaten Tesla's revenue from credits.

How important is it?

Legislative changes directly impact operational costs and revenue, critical for TSLA performance.

Why Short Term?

Immediate effects observed in stock price decline; longer-term reassessment may occur post-Senate vote.

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