Tesla shares on the decline amid Musk’s launch of a new party
Tesla’s stock has dropped significantly amid CEO Elon Musk’s plans to establish a new political party,dubbed the “America Party.” The stock fell 7% before the market opened,reflecting a turbulent period for tesla shares,which have been volatile since the year’s start. The decline appears correlated with Musk’s recent poll on social media, where 65.4% of respondents supported his idea for a new party to challenge the current political landscape dominated by Republicans and Democrats. Musk views this initiative as a means to restore individual freedoms.
In the context of these developments, Musk has criticized previous legislation, specifically the One Big Beautiful Bill Act, suggesting it could hinder tesla’s growth and inflate the national debt. His endorsement of Donald Trump, who is now expressing skepticism towards third-party efforts, adds another layer of complexity to the situation. Despite the decline in shares, they remain higher than when Musk initially backed Trump, even though their value has been on a steady decrease as that time.
Tesla shares on the decline amid Musk’s launch of a new party
Electric vehicle company Tesla saw its shares take a dive while its CEO, Elon Musk, plotted online to create a new political party.
Musk has long complained that the One Big Beautiful Bill Act would stifle his company’s growth and contribute to the national debt before President Donald Trump signed it into law last week. Now, months after his endorsement of Trump, Musk is teasing an “America Party” to challenge Republican and Democratic politicians.
Tesla shares have been volatile since the start of the year, and they fell 7% before the market opened Monday.
The latest decline followed a poll Musk conducted on X that found 65.4% of respondents favored the new party, while 34.6% voted against it. There were just over 1.2 million recorded responses.
Musk suggested Saturday afternoon, after the poll results were in, that the “America Party” would be formed “to give you back your freedom.”
After the poll, Trump voiced his concern over the third-party plan.
“The System seems not designed for them. The one thing Third Parties are good for is the creation of Complete and Total DISRUPTION & CHAOS,” he wrote Sunday.
Republicans have been dismissive of Musk’s pledge to help challenge “every member of Congress who campaigned on reducing government spending and then immediately voted for the biggest debt increase in history.” Trump had been on the warpath to campaign against any members of the GOP who voted against it.
SCOTT BESSENT MOCKS MUSK’S ADVICE: ‘I WILL TAKE CARE OF THE FINANCES’
In total, 51 Republican senators and 218 Republican representatives voted for the bill. Only four senators and two representatives from the party Musk once supported voted against it.
Despite the recent decline, Tesla shares are still higher than they were when Musk first endorsed Trump. In the days before Trump’s inauguration, shares peaked but have steadily declined since.
" Conservative News Daily does not always share or support the views and opinions expressed here; they are just those of the writer."
*As an Amazon Associate I earn from qualifying purchases
