U.S. crude prices continued to fall Wednesday, settling below $70 per barrel for the first time since early July and at their lowest levels since June. That’s good news for the Federal Reserve in its battle against inflation. While the impact on oil and natural gas stocks has not been as cheery, companies across many other industries stand to gain. At session lows, West Texas Intermediate crude dropped more than 4% Wednesday afternoon to just over $69 a barrel. The U.S. oil benchmark has been drifting lower since late September when WTI settled at its highest levels of the year — at nearly $94 per barrel. Energy , meanwhile, has been the only sector in the S & P 500 in the red since the fourth quarter began Oct. 1 — down about 10.7% compared with the broad market index’s 6% advance. Our only remaining oil and nat gas holding, Coterra Energy (CTRA), has also struggled — losing more than 8% quarter to date, including Wednesday’s more than 2% drop. However, more than two-thirds of our stock portfolio has been higher so far in the fourth quarter. “Oil is the key to this market. If it doesn’t hold $70, I don’t know where the thing goes,” Jim Cramer said earlier Wednesday. “But, boy, is it going the way of the Fed.” In its effort to cool inflation, the central bank has been tightening monetary policy since late 2021 and began aggressively raising interest rates in March 2022. Since then, the fed funds overnight bank lending rate has risen from near-zero to the current range between 5.25% and 5.5%. In early 2023, lower year-over-year oil prices helped slow the rate of consumer inflation, which reached its Covid-era peak at 9.1% in June 2022 . But, as oil climbed higher in the summer and into late September, concerns mounted that crude was once again becoming a thorn in the Fed’s side. With recent data pointing to cooling inflation, including falling energy prices, the market is trying to decide if the Fed’s rate-hiking cycle is done. The odds favor a rate cut as early as the Fed’s policy meeting in March, according to the CME FedWatch tool . @CL.1 YTD mountain The year-to-date performance of West Texas Intermediate crude futures. Oil impacts inflation data in more than just the gasoline prices paid by consumers at the pump. It also figures into corporate transportation and freight costs. If those input costs stay consistently higher, companies may choose to raise prices on the goods they’re making and shipping to protect profit margins. That will eventually show up in inflation readings — and, in theory, require the Fed to keep making policy decisions designed to slow the U.S. economy. The other side of the coin is that lower oil prices can be a boon to both consumers and companies, including those in Jim’s Charitable Trust, the portfolio we use for the Club. The less money people need to spend to fill up their gas tanks, the more cash they have available to spend on other goods and services — a positive for the economy. Similarly, lower fuel costs can help cushion companies’ profit margins — a positive for their investors and the stock market, more broadly. To be sure, falling crude prices can be worrisome if the decline is tied to a dramatic slowdown in economic activity. In a recession, demand would weaken for not just oil, but many other products sold by companies, too. The current picture on this point is not exactly black and white. For starters, oil production in the U.S. has been hovering around record levels , leading to a robust supply landscape even after oil cartel OPEC+’s latest production-reduction effort in an attempt to shore up prices. There are some fears about demand in China, the world’s second-largest economy. Economic activity in the U.S. also is slowing, but so far not in a manner that is troubling or suggests a severe recession is around the corner. To date, consumer spending and employment data have remained relatively resilient, while inflation is gradually cooling and oil prices are retreating. It’s possible upcoming economic reports could begin to scramble this picture — starting with Friday’s November jobs report — and eventually prompt us to read the oil market differently. At this point, the weakness in crude prices is a win for the Fed and large swaths of the Club’s portfolio, particularly a company like Amazon (AMZN) that benefits when consumers have more money to spend on its online marketplace and when its costs to deliver those products come down. It’s also led investors to sell Coterra Energy’s stock. Lower oil prices will hinder Coterra’s free cash flow , which the company returns to shareholders through stock buybacks and dividend payouts. Those are key reasons investors, including us, own the stock. We’re hardly panicking, though. In fact, we used Wednesday’s declines to add to our position in Coterra , which now holds a roughly 2% weighting in our portfolio. The fact that Coterra has fallen out of favor is precisely why we want to buy. Coterra, which has significant oil and natural gas exposure, can make plenty of money at current commodity prices. Plus, the company has done a commendable job managing its expenses this year — and encouragingly, expects to see service cost deflation in 2024. In other words, Coterra is controlling what it can. The price of oil is not one of those things. (Jim Cramer’s Charitable Trust is long CTRA and AMZN. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
An oil rig in front of a sunset
Andrey Rudakov | Bloomberg | Getty Images
U.S. crude prices continued to fall Wednesday, settling below $70 per barrel for the first time since early July and at their lowest levels since June. That’s good news for the Federal Reserve in its battle against inflation. While the impact on oil and natural gas stocks has not been as cheery, companies across many other industries stand to gain.
Mercedes-Benz is gearing up to unveil the electric version of its best-selling SUV, the GLC, later this year. With its official debut just around the corner, Mercedes revealed a few new details, offering an exclusive first look at the new EV.
Mercedes offers an exclusive look at the new electric GLC
Although we got a sneak peek of the electric SUV in March during winter testing in Northern Sweden, Mercedes is giving us a better idea of what to expect.
“We’re not just introducing a new model – we’re electrifying our top seller,” Mercedes-Benz Group CEO, Ola Källenius, said on Thursday.
Mercedes promises the electric GLC “sets new standards” with a sleek new design, advanced tech, and its new MB.OS operating system.
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The new GLC EV is an upgrade over the current model, offering significantly more space and improved ride quality. Since the wheelbase is 3.1″ longer than the current gas-powered SUV, the electric version has more legroom and headroom for front and rear passengers.
With all the seats folded, the electric SUV offers 61.4 cubic feet of space. The gas-powered model features up to 56.3 cubic feet of cargo space. Plus, you get an extra 4.5 cu ft of space in the trunk (front trunk).
Mercedes-Benz CEO Ola Källenius with the new GLC EV (Source: Mercedes-Benz)
Källenius said that with Mercedes’ new 800V electric architecture and latest batteries, the electric GLC can regain around 260 km (161 miles) WLTP range in just ten minutes. He added that DC fast charging at over 320 kW is possible.
The GLC 400 4MATIC with EQ Technology will arrive with impressive towing capability of up to 5,291 lbs. In comparison, the Tesla Model Y can only tow up to 3,500 lbs.
Mercedes-Benz CEO Ola Källenius tests a prototype of the new electric GLC (Source: Mercedes-Benz)
Added features, such as ESP trailer stabilization and trailer maneuvering assistant, make it even easier to tow with optimized stability and control.
Källenius also teased the new electric GLC design, calling it the start of a “new era” and “a new face of the brand as the first in a family of upcoming vehicles.”
Mercedes GLC EV prototype with EQ Technology testing in Sweden (Source: Mercedes-Benz
The inside is just as impressive, providing a holistic experience. A “majestically floating next generation MBUX Hyperscreen” is optional, providing a spatial experience powered by the new MB.OS supercomputer.
Mercedes will unveil the new electric GLC at the 2025 International Motor Show in Munich on September 7, 2025.
The new electric Mercedes CLA interior (Source: Mercedes-Benz)
Although official range figures will be revealed at the event, according to Car and Driver, which tested a prototype model, Mercedes said it expects the new GLC to provide a WLTP range of just over 400 miles, or slightly more than 300 miles on the EPA scale, from a 94.5 kWh battery.
Prices will also be announced in due time, but given that the current GLC 350e 4MATIC PHEV starts at $59,900 in the US, you can expect the electric model to be priced slightly higher, at around $65,000.
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Tesla (TSLA) announced its 2025 annual shareholders meeting at the very last minute, and it pushed it all the way to November, the latest it has ever held the meeting.
Tesla generally holds its annual meeting in the summer and announces it way ahead of time.
Today, the automaker announced that the meeting will be held on November 6:
The board of directors (the “Board”) of Tesla, Inc. (“Tesla”) has designated November 6, 2025 as the date of Tesla’s 2025 annual meeting of shareholders (the “2025 Annual Meeting”).
This is highly unusual for Tesla. Here are the dates of Tesla’s last 5 annual meetings:
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2020: September 22, 2020
2021: October 7, 2021
2022: August 4, 2022
2023: May 16, 2023
2024: June 13, 2024
At those meetings, shareholders vote on several matters, including the reelection of directors and shareholders’ proposals.
Tesla has not released any yet, but they are expected to be in the upcoming proxy statement, which Tesla should release in the coming weeks.
Why does Tesla need more time?
Electrek’s Take
I think Tesla is working on some proposals that are going to take time to put together and then to sell to shareholders – hence why the meeting is set for November.
There are two suspects: a new CEO compensation package for Musk or a merger/acquisition of xAI.
It could also be both, but I think that would be harder to swallow for some shareholders as both initiatives have a clear aim of giving Musk a bigger stake in Tesla.
I think sane investors should not want that, but Tesla shareholders don’t fit in that category. Much of Tesla’s value is attached to Musk’s lies and ridiculous predictions. The value will have to come down to reality at some point, but they are a bunch of gamblers who are enjoying the ride in the meantime.
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A three-row electric SUV for less than $30,000? Sign me up. NIO (NYSE: NIO) opened pre-orders for the new Onvo L90 on Thursday, starting from 193,900 yuan, or about $27,000.
NIO kicks off Onvo L90 pre-orders in China
NIO claims the Onvo L90 is the lightest full-size three-row SUV in its class, with a curb weight just under 5,000 lbs (2,250 kg). In comparison, the Lucid Gravity has a curb weight of 5,966 lbs (2,712 kg).
The new flagship model is designed as a family-friendly SUV, offering ample interior space and advanced technology.
At 5,145 mm long, 1,998 mm wide, and 1,766 mm tall, the Onvo L90 is slightly bigger than the Lucid Gravity. In China, it will go head-to-head with higher-end electric SUVs like Li Auto’s L9.
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However, the L9 is an extended-range electric vehicle (EREV) and starts at around 409,800 yuan ($57,000), more than double the price of the Onvo L90.
The low price of 193,900 yuan ($27,000) applies only to those who rent the battery. Nio’s Battery as a Service (BaaS) costs 899 yuan ($125) a month. With the battery included, the Onvo L90 still starts at just 279,900 yuan ($39,000).
Nio’s new electric SUV is offered in six and seven-seat configurations. The interior features a massive 17.2″ floating infotainment screen at the center.
Other interior highlights include a three-zone climate control system, massage, heating, and ventilation for every seat, as well as an additional entertainment screen for rear passengers. And like many new vehicles in China nowadays, it even comes with a built-in refrigerator.
Powered by an 85 kWh battery, the Onvo L90 offers a CLTC range of 605 km (367 miles). It’s also based on NIO’s next-gen 900V platform, unlocking class-leading energy consumption of just 14.5 kWh per 100 km.
Buyers can choose from single and all-wheel-drive powertrains. The AWD version boasts up to 590 hp (440 kW), good for a 0 to 100 km/h (0 to 62 mph) sprint in just 4.7 seconds.
NIO is offering an incentive for early pre-order holders. Those who place an order with a 2,000 yuan deposit will receive a 5,000 yuan credit off the vehicle and an extra 5,000 yuan for optional features and more. Nio plans to begin delivering Onvo L90 to customers, starting on August 1.
The L90 is the second Onvo-branded EV to arrive in China, following the smaller L60, launched last September.