Part 4/11:
A key concern arises from Elon Musk’s indirect warning about a looming financial disaster — possibly the greatest in recent history. In a tweet, he echoed fears that the auto loan industry faces severe distress due to the collapse in residual vehicle values. Many auto loans, especially those backing gas-powered vehicles purchased during the recent boom, are now deeply underwater as car valuations drop sharply—some by as much as 30 percent year-over-year.