Tesla Stock Defies Skeptics as Musk Dismisses Subsidy Fears

Tesla shares surged nearly 4% on Tuesday, defying expectations of a downturn following the expiration of U.S. EV tax credits. Elon Musk's terse 'Guess not' rebuke on X underscored his confidence in Tesla's organic demand drivers beyond government incentives.

The stock closed at $442.79 after touching intraday highs above $447, marking a 7% gain over five sessions. This resilience suggests investors are betting on Tesla's technological edge and brand power to sustain growth as subsidy-driven demand wanes.

Market analysts note the unusual divergence from traditional supply-demand economics, where subsidy removal typically pressures prices. Tesla's performance indicates a maturation of the EV market, where consumer preference increasingly outweighs fiscal policy in purchase decisions.