Rivian Automotive Inc ( RIVN ) shares are trading higher by 3.1% to $16.88 Thursday afternoon. Shares of EV-related stocks are trading higher following recent CPI Data. Additionally, the Department of Energy disclosed a $1.7 billion investment to transform 11 auto facilities that are either shut down or at risk into electric vehicle manufacturing plants and supply chain hubs.

The cooling inflation increases the likelihood that the Federal Reserve will cut interest rates sooner rather than later. Lower interest rates reduce the cost of borrowing. Rivian, being a relatively new and capital-intensive company, relies on borrowing to fund its operations and growth.

Cheaper borrowing costs would reduce Rivian’s financial expenses, potentially improving its financial health and making its stock more attractive.

Lower inflation and potential rate cuts can also lead to increased consumer spending power. As borrowing becomes cheaper, consumers are more likely to finance big-ticket purchases such as electric vehicles. This could drive up demand for Rivian's products, positively impacting sales and revenue growth.

Read Also: Biden Cheers Inflation Progress, Rate Cut Chorus Grows Louder Among 5 Economists

How To Buy RIVN Stock

Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, in Rivian Automotive’s case, it is in the Consumer Discretionary sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.

According to data from Benzinga Pro, RIVN has a 52-week high of $28.06 and a 52-week low of $8.26.