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LAST UPDATE: June 7, 2025


Tesla Shares Caught in the Middle of Musk-Trump Breakup

Bloomberg

President Donald Trump and Elon Musk’s alliance has dissolved into a public war of words, causing Tesla shares to sink 14% and erasing over $150 billion in market capitalization.

Insight

The fallout from the Musk-Trump feud has had significant financial implications for Tesla, reflecting investor concerns over potential impacts on government contracts and subsidies. The dispute underscores the risks associated with close ties between corporate leaders and political figures, particularly when disagreements become public. The situation highlights the importance of corporate independence and the potential volatility introduced by political entanglements.

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