Shares of EV maker Rivian (RIVN) are up 4% today. According to reports, the Biden administration is expected to announce the completion of a large federal loan to the company before leaving office.
Additionally, Tesla (TSLA) is lowering the price of its Cybertruck, which is seen as a rival to Rivian's R1T truck.
A state-of-the-art electric car charges at a station in a suburban shopping mall.
Rivian's huge loan reportedly ready to close
According to Bloomberg, which cited unnamed sources, the Biden administration is expected to announce the completion of the huge loan to RIVN as soon as today. The loan amount will be approximately $6.6 billion. The latter amount was the amount the administration conditionally approved in November.
The automaker plans to use the money to build a new factory in Georgia.
Vivek Ramaswamy, co-chair of President-elect Trump's DOGE initiative, criticized the loan and threatened to cancel it if the Biden administration approves the deal with conditions.
DOGE's other co-chairman is Tesla CEO Elon Musk.
Tesla lowers Cybertruck price
TSLA is reducing the price of in-stock Cybertrucks by approximately $1,600 to $2,600, the company reported on its website. Sources said the move shows that demand for EVs is significantly decreasing.
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Please also read 8 Best Wide Moat Stocks to Buy Right Now and The 30 Most Important AI Stocks by BlackRock
Disclosure: The author owns RIVN stock but has no plans to trade the stock in the next 48 hours. This article was originally published on Insider Monkey.
