Home / Business and Economy / Tesla Shares Surge on Fed Chair's Dovish Remarks, Robotaxi Expansion
Tesla Shares Surge on Fed Chair's Dovish Remarks, Robotaxi Expansion
22 Aug
Summary
- Tesla shares jump 6.1% after Fed Chair Powell's dovish comments
- Tesla to open Robotaxi service in Austin, Texas next month
- Tesla applies to become a power supplier in the U.K.
On August 22, 2025, Tesla's (NASDAQ:TSLA) shares jumped 6.1% in the afternoon trading session, following dovish comments from Federal Reserve Chair Jerome Powell that sparked a broad market rally. Investors interpreted Powell's remarks at the Jackson Hole Symposium as hinting at a potential interest rate cut, which is often seen as a positive for stocks.
The news lifted risk assets, including Tesla, which has seen significant volatility over the past year, with 45 moves greater than 5%. This latest move indicates that the market considers the Fed news meaningful, but not something that would fundamentally change its perception of Tesla's business.
In addition to the Fed-driven rally, Tesla has also been making strides in its autonomous driving technology and energy market expansion. The company recently announced that its Robotaxi service in Austin, Texas will open to the public next month, a significant milestone for the program. Tesla is also seeking approval to operate autonomous vehicles in Arizona. Furthermore, the company has applied to British regulators to become a power supplier in the U.K., signaling a strategic move to diversify its revenue streams.
Elon Musk, Tesla's CEO, has also teased the upcoming release of the next Full Self-Driving software update, FSD V14, which he claims will bring a "dramatic gain" with significant improvements to the company's autonomous driving capabilities.
