Lucid Group Inc LCID Shares are trading 33% higher over the past five sessions at $4.18. This rise comes amid overall market strength following Fed Chair Powell’s comments on the economy and possible future rate cuts.

What happened: In a keynote speech at the Jackson Hole Symposium Last week, Federal Reserve Chairman Jerome Powell hinted at a possible change in interest rates and signaled that the Fed could begin easing soon. While Powell did not give a specific time or amount, he noted that the Fed is increasingly confident that inflation is gradually returning to its 2% target.

Powell also mentioned that the labor market was showing clear signs of slowing. Following these remarks, the U.S. dollar fell to its lowest level in over a year and interest rate-sensitive markets, including small-cap stocks, real estate and regional banks, rallied.

The price of gold also reached a record high and the most important US stock indices ended last week in positive territory, with small-cap stocks in particular showing above-average performance.

Also read: Nasdaq and S&P 500 futures rise as hopes for positive Nvidia earnings and rate cuts lift sentiment

Why it matters to Lucid Stock: As an EV company, Lucid would benefit from the prospect of lower interest rates, which could lead to cheaper financing costs for both the company and its consumers.

Lower interest rates make it easier for companies to borrow money for growth and investment, and they can increase disposable income, leading consumers to spend money on expensive purchases like electric vehicles.

Finally, the decline in the U.S. dollar could also make Lucid’s vehicles more internationally competitive, potentially leading to increased export opportunities and further growth prospects.

Also read: Temu Parent PDD posts 86% revenue growth in Q2, share price falls after CEO hints at challenges ahead

How to buy LCID shares

In addition to acquiring a stock—or a portion of a stock—through a brokerage platform, you can also purchase an exchange-traded fund (ETF) that holds the stock itself, or by pursuing a strategy in your 401(k) plan that aims to acquire shares of a mutual fund or other instrument.

In the case of Lucid Group, for example, this is the consumer discretionary sector. An ETF will likely hold shares of many liquid and large companies that track this sector, allowing an investor to participate in the trends in this segment.

According to data from Benzinga Pro, LCID has a 52-week high of $6.45 and a 52-week low of $2.29.