
4 Ways the Musk-Trump Clash Could Shake Up Your Investments
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4 Ways the Musk-Trump Clash Could Shake Up Your Investments
Elon Musk and President Trump’s public spat continues to impact investors. The feud started when Musk bashed Trump’s controversial new bill. Trump said he does not wish to repair the relationship with Musk and has no plans of talking to him. Some are predicting the renewable energy sector is at risk due to the conflict.. According to Lokenauth, tech is down across the board due to Trump and Musk’s conflict. The tech sector is getting hammered from multiple directions, LokenAuth said, and tech-heavy clients have seen their portfolios take serious hits. The company’s still solid, but the stock price swings are just too wild, he said.
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“I’ve watched my tech investments swing wildly since Elon started this whole Twitter saga,” finance expert Andrew Lokenauth with Be Fluent in Finance said. “The Tesla stock in my portfolio dropped about 65% — and honestly, it’s been a mess.”
The feud started when Musk bashed Trump’s controversial new bill, and called out Republicans supporting it. On X, he wrote, ” I’m sorry, but I just can’t stand it anymore. This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination. Shame on those who voted for it: you know you did wrong. You know it.”
In a June 7 interview with NBC News, Trump said he does not wish to repair the relationship with Musk and has no plans of talking to him. “I’m too busy doing other things,” he said. “I have no intention of speaking to him.”
The fallout continues to impact investors. Here’s how their clash could affect your investments, according to finance experts.
Tesla Stock
As a result of the bad blood between Musk and Trump, Tesla’s value fell $152 billion, per CNBC. According to Lokenauth, Tesla isn’t just a car company anymore — it’s Musk’s personal brand, and that’s a problem because he’s losing credibility after the spat.
“I’ve trimmed my Tesla position by about 75%, he said. “The company’s still solid, but the stock price swings are just too wild and most of my conservative clients have completely exited their positions.”
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Renewable Energy Sectors
When powerful figures collide, financial backlash can happen, and some are predicting the renewable energy sector is at risk.
“If Trump’s policies lean heavily toward traditional energy and Musk publicly pushes back, investors might see wild swings in companies like Tesla or SpaceX’s partners,” said Danny Ray, founder of PinnacleQuote “The Life Insurance Experts.”
He added, “If you’re holding stocks tied to either camp, it’s smart to tighten your strategy and stay nimble.”
Impact on Tech Sector Stability
It’s not just Tesla stocks investors should look at. According to Lokenauth, tech is down across the board due to Trump and Musk’s conflict.
“The tech sector’s getting hammered from multiple directions,” he said. “My tech-heavy clients have seen their portfolios take serious hits.”
Source: https://finance.yahoo.com/news/4-ways-musk-trump-clash-120607099.html