THE BLOWS KEEP COMING

Wall Street Soars as Investors Dump Trump and MAGA-Linked Stocks

Trump Media, SpaceX, and Tesla all took a big hit Wednesday morning.

The broader stock market surged after Democrats’ midterm sweep on Tuesday, but investors sold off key MAGA-aligned equities like Trump Media and SpaceX.

The S&P 500 jumped 1.8 percent by Wednesday morning, on track for its best single-day performance in three months, a day after Democrats seized control of both the House and the Senate at the midterm elections. Meanwhile, the Dow Jones Industrial Average was up by nearly 3 percent.

But shares in Trump Media—which runs Truth Social— plummeted more than 16 percent to an all-time intraday low. The stock was trading around $4.99, as of Wednesday afternoon. The dip follows an already rocky year for Trump Media, which is down 62 percent year to date.

Truth Social, which launched in 2021, saw its daily traffic crater more than 30 percent this year.

President Donald Trump owns 41 percent of Trump Media and, Forbes reports, lost $73 million from his estimated $6.5 billion fortune after Wednesday’s stock market plunge.

According to The Wall Street Journal, several other stocks linked to the Trump family also took a hit.

Shares in Unusual Machines, a drone component manufacturer backed by Donald Trump Jr., lost 13 percent. PSQ Holdings, an online marketplace that also counts Donald Trump Jr. as a major investor and board member, slipped more than 4 percent.

It was also a rough day for Tesla and SpaceX CEO Elon Musk. Shares in both companies fell about 3 percent each, after the tech founder’s record-breaking election spending backfired.

Musk, currently the richest person in the world, spent $474 million to support Republican candidates—the most any donor has ever given in a single U.S. election cycle.

A large sum went into the Senate race between Republican Ken Paxton and Democrat James Talarico in Texas, where SpaceX and Tesla are headquartered.

Musk’s gamble failed. Talarico became the first Democrat to win a Senate seat in Texas since 1988. The state also elected Gina Hinojosa, its first Democratic governor in more than 30 years.

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Data center and defense stocks, including Lockheed Martin and Northrop Grumman, also fell, possibly anticipating tighter regulation and a smaller Pentagon budget under a Democrat-controlled Congress.