Better news for Tesla

Tesla shares have risen as much as 7.26% this week on the back of reassurances the company doesn’t need extra money and has stepped up in its Model 3 production.

About 2020 of the cheaper Model 3 sedans have been built in seven days.

The improved outlook follows a week of bad news about Tesla’s credit rating and semi-autonomous driving technology, Reuters

reports.

Elon Musk’s $US50 billion venture aims to turn out 2000 Model 3 cars next week and production is expected to soar through the second quarter.

Tesla continues to target a production rate of about 5000 units a week in about three months, the company says.

It expects to have a combination of high volume, good gross margin and strong positive operating cash flow.

“As a result, Tesla does not require an equity or debt raise this year, apart from standard credit lines.”

Tesla says it has about 500,000 advance Model 3 reservations.

All this has led some overseas experts to speculate that Tesla has “turned the corner”.