The company reversed plans announced last month to close stores and focus on online-only sales. Tesla planned to cut prices for its Model 3 by six per cent in light of the planned closures. However, on Sunday it announced a three per cent hike across all vehicles (except the base Model 3) and said it would only close about half of the stores it initially intended to shutter. (Financial Times, The Verge)

Talking point: The initial announcement raised doubts that consumers would buy a car they couldn’t test-drive, and whether the company could meet production targets typically required of lower-cost vehicles. The markets responded well to Sunday’s reversal, with shares climbing over two per cent Monday, up from a 14 per cent drop following the initial news of the price cuts. Meanwhile, CEO Elon Musk has until the end of Monday to respond to the U.S. Securities and Exchange Commission (SEC)’s claims that he should be held in contempt for a tweet about Tesla’s production volume—one that the SEC said breached a September 2018 agreement requiring him to get company approval before sharing related information on social media.