Shares of Nio Inc., a China-based electric-vehicle maker, plummeted to their lowest prices in nearly four years as investors expressed worries about Tesla Inc.'s price cuts and a weakening economy. Nio's stock hit fresh lows after Tesla reduced prices on two models in China and Germany, intensifying competition in the electric vehicle market.

In morning trading on Wednesday, Nio's U.S.-listed stock dropped 2.6%, inching closer to its lowest closing price since June 12, 2020. This marked a nine-day losing streak for Nio, which suffered a 25.1% decline. If the downward trend continues, Nio might tie the current record loss streak of nine sessions that ended on March 9, 2020.

The concerns surrounding Nio's stock go beyond increased competition and are rooted in worries about China's economy. Investors were disappointed when the People's Bank of China decided to leave interest rates unchanged over the long weekend.

Other China-based electric vehicle manufacturers are also experiencing stock weakness. XPeng Inc. saw its shares drop 3.9% to reach a seven-month low, while Li Auto Inc.'s stock slid 4.1% towards an eight-month low. Additionally, the U.S.-listed shares of BYD Co. took a 4.1% hit, potentially leading to their lowest close in 10 months.

Meanwhile, Tesla's stock slumped 3.1% to reach a 10-week low. Over the course of 13 consecutive sessions, Tesla's stock has declined 11 times, resulting in an 18.4% drop. If the downward trend continues, Tesla could experience its fifth straight weekly loss, the longest such streak since May 2021.

The negative sentiment in the electric vehicle sector is also reflected in the performance of relevant exchange-traded funds. The Global X Autonomous & Electric Vehicles ETF fell 1.9% in morning trading, reaching a two-month low. The iShares MSCI China ETF lost 2.9%, hitting a 15-month low. Furthermore, the S&P 500 index... [information ends here as it was not provided in the user's text]