Market Minute: GM Takes Aim at Tesla With Cheaper, Long-Range Electric Car

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GM takes on Tesla, and this could be a big day for the struggling video game industry. Those items and more are what's in the Market Minute for Tuesday.

The Dow Industrials (^DJI) extended last week's rally, gaining 118 points yesterday. The S&P 500 (^GSPC) rose 9 but the Nasdaq (^IXIC) slipped 4 points.

General Motors (GM) says it's working on an electric car that can travel up to 200 miles on a charge, rivaling the models produced by luxury automaker Tesla (TSLA). But the GM car will be a lot cheaper, priced at around $30,000. GM did not say when the new car would hit dealer lots. Separately, GM's Chevy Silverado has been named as Consumer Reports' top rated truck.

Game maker Take-Two Interactive (TTWO) releases the fifth version of "Grand Theft Auto" franchise. It's been five years since "Grand Theft IV" came out and set sales records. The research firm NPD reported last week that sales of videogame hardware and software edged up 1 percent in August, after more than a year of declines. "Madden NFL 25", from Electronic Arts (EA), was the top seller.

JPMorgan Chase (JPM) has reportedly agreed to pay about $800 million in fines to settle a series of charges stemming from the derivatives trading debacle centered around the rogue trader now known as the London Whale. In addition, the banking giant is expected admit wrongdoing, which could open it up to private lawsuits.

Another big mining company is pulling the plug on a major project. Anglo American (AAL) is withdrawing from a controversial gold and copper project in Alaska -– taking a $300 million charge to do so.

Outerwall (OUTR) may need a retaining wall to contain the damage from a disappointing earnings forecast. The company, which owns Redbox and was formerly known as Coinstar, slashed its outlook for the current quarter by more than a third.

And finally, shares of Cvent (CVT) are also set to slide after the event planning company missed Wall Street analysts' expectations. The stock has jumped 37 percent since going public last month.

- Produced by Drew Trachtenberg

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54 Comments

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msl8460

So GM will buy Tesla, then bury the brand, just like it did with it's once intended Electric-Car Division Saturn; God forbid we slide down that slippery slope toward fuel efficiency- Big Oil wouldn't hear of it. BTW where are the electric SUVs and Pickups? The very vehicles which consume the most?

September 17 2013 at 3:55 PM Report abuse rate up rate down Reply
prnyl

$30,000 from GM? Maybe without the engine and rims- Hyundai ,Honda, Toyota, Kia, Mazda- all of them beat the crap out of Government Motors

September 17 2013 at 3:02 PM Report abuse -1 rate up rate down Reply
Alan

Great - make a decent alternative at a fair price and provide som service along with it and GM will sell a bunch of them. I just do not think they have it in them to get it done.

September 17 2013 at 2:35 PM Report abuse rate up rate down Reply
wjrnfla

Telsa must be shaking in their boots, not.

September 17 2013 at 2:07 PM Report abuse +1 rate up rate down Reply
dkelmstra

Why doesnt GM repay taxpayers for their $50 BILLION BAILOUT? We are still suffering because of the GM bailout. I like many REFUSE to support GM again. The left talks about corporate welfare and subsidies and bailouts yet Obama is the king of this.
I say BOYCOTT GM until they repay us every penny plus interest.

September 17 2013 at 1:41 PM Report abuse -4 rate up rate down Reply
1 reply to dkelmstra's comment
Lifes a Beach

GM did repay their loan, in full, ahead of schedule, with interest. Bush & Obama both had a hand in it. Good luck getting people to boycott GM, they have a number of vehicles at the top of jd powers initial quality list, & they're the only domestic mfgr to achieve this. Japan has been running on goodwill for a decade now & w/Korea, still the cheapest, you get what you pay for, good luck w/that.

September 17 2013 at 2:15 PM Report abuse +5 rate up rate down Reply
ptb24hr

GM cant make a car that can compete wih the Jap imports or the Koreans. They never and I mean NEVER will make a cheap affordable electric car.

September 17 2013 at 1:22 PM Report abuse -4 rate up rate down Reply
tmiller473

This, while the environmental nuts are trying to shut down all electric generation

September 17 2013 at 1:00 PM Report abuse -3 rate up rate down Reply
1 reply to tmiller473's comment
dkelmstra

Yes and try to get maintenance done on an electric auto -- many will not touch them. Now I see dems want to tax electric autos based on mileage driven since they arent buying gas and not paying for the roads.
I will stick with my SUV and drive in comfort without worrying about charging it.

September 17 2013 at 1:43 PM Report abuse -3 rate up rate down Reply
hazel

forget the ele cars lets fix the reg cars use gas to many recalls dealers can't repair .slow down and make a good car that doesn't have visit the dealer every wk.....

September 17 2013 at 12:28 PM Report abuse -3 rate up rate down Reply
stevendy1

extremely odd??? GM has nothing on its own site about this--wonder why? fake? exaggerated ? or just not true....another mis-quote apparently? also heard they have an engine that runs on water. but, it has to be premium...oil companies have bought this ingenious invention from them for $ 10 and change....I also read that somewhere..

September 17 2013 at 12:21 PM Report abuse +1 rate up rate down Reply
balugablue21

Oh do I hate Generous Motors....... You bet your sweet arse i do

September 17 2013 at 12:13 PM Report abuse -1 rate up rate down Reply
1 reply to balugablue21's comment
dkelmstra

Obama should demand GM repay taxpayers. He goes after everyone else but GM.

September 17 2013 at 1:43 PM Report abuse -3 rate up rate down Reply