Volkswagen Price Drops as they Recall 281K Cars
What’s the story?
Volkswagen announced yesterday that they will be recalling almost 281,000 CC and Passat sedans in the U.S. due to a failure with their fuel pumps leading cars to suddenly stall.
VW say they will notify owners about the problem in October and send a second letter when replacement computers are available. Dealers will swap out the computers and move them so they are less susceptible to mechanical stress and heat.
What’s the market impact?
As a result of this, the stock price for VW fell by -1.22% from 130.42 on market open to 129.29 on market close on the 29th August.
Throughout the day trading.co.uk picked up on unusual amounts of volume and the drop in price for VW.
As shown below users were alerted to high peaks in social volume surrounding VW, highlighting the fact that something was going on surrounding them.
Users of trading.co.uk were also alerted as price shifts took place throughout the day, prices for VW dropped to as low as 128.10 as seen below.
Looking to the future…
This could bring both risk and opportunities to traders and investors. Stay ahead… Use trading.co.uk’s AI to mitigate risk and spot potential opportunities for FREE during this time of volatility for Volkswagen!
Charts used are taken from Trading Elite
Author- Becki Leighton from Trading.co.uk