Ford stock was trading at $12.81 as of 02:42 PM EDT.

According to Reuters, Ford Motor Company (NYSE:F) and Hyundai (OTCPK:HYMLF) are in advanced talks with Indonesian officials about establishing businesses connected to electric vehicles in the country.

Ford (NYSE:F) and partners Vale Indonesia and China’s Zhejiang Huayou Cobalt signed a non-binding agreement of understanding earlier this year to construct a nickel factory in Indonesia. According to Indonesia’s Coordinating Minister for Economic Affairs, Airlangga Hartarto, the country has the raw resources needed to develop EV battery technology that would boost the American auto sector.

General Motors Company (NYSE:GM) said earlier in October that it wants to buy nickel and cobalt to use in electric cars. To help secure the necessary metals, the automaker announced an investment of up to $69 million and a stake in Queensland Pacific Metals. Importantly, GM says that the investment will make it easier for electric cars to get incentives under the new rules for U.S. tax credits.

Ford stock forecasted

Despite not being the largest of the three, Ford’s stock price increase may also be the one with the most logical justification. GM, a competitor of Ford, easily exceeded expectations in its Q3 earnings announcement this morning, earning $2.25 per share, while Wall Street was only expecting to see $1.88. GM’s sales increased by 56% year over year, and profits increased by 39%. GM also reiterated its forecast of earning up to $7.50 per share and generating up to $9 billion in automotive free cash flow this year.

Investors undoubtedly wager that if the auto industry was as prosperous as GM, Ford’s fortunes were surely not too far behind. Investors might be racing to buy ahead of the positive news because Ford is due to disclose its own profits tomorrow.

The biggest news of the day at Boeing, in contrast, is that Steve Parker, the company’s head of the bomber and fighter jet projects, has been promoted to take over as Chief Operating Officer of the whole Boeing Defense, Space, and Security (BDS) business. BDS is essential to Boeing’s success because it is larger than the company’s Commercial Airplanes division and more profitable, where the commercial side is losing money. According to Reuters, Parker’s role will be to “assist turn around loss-making initiatives “and maximize earnings there while commercial airplanes are still getting started.”

Ford Stock: What Caused Today’s Positive Change

Featured Image – Megapixl © Hupeng 

Please See Disclaimer