Tesla shares plummet as Musk starts a new political party

Tesla shares have plummeted as investors are concerned over Elon Musk launches a political party.

At the start of trading Wall Street saw a loss of around $71 billion off the market value. Musk has publicly hit out at the US President over his “big beautiful bill” cutting taxes and spending.

Musk wrote in a post on his X platform on 30 June, “It is obvious with the insane spending of this bill, which increases the debt ceiling by a record FIVE TRILLION DOLLARS that we live in a one-party country – the PORKY PIG PARTY!!

On 4 July Musk wrote on X, “Independence Day is the perfect time to ask if you want independence from the two-party (some would say uniparty) system!

People voted 65.4% in favour of the SpaceX owner to create a new party, the next day the tech billionaire set up the American Party.

Musk wrote on X to his followers, “By a factor of 2 to 1, you want a new political party and you shall have it! When it comes to bankrupting our country with
waste & graft, we live in a one-party system, not a democracy.”

“Today, the America Party is formed to give you back your freedom.”

The US President then responded to Musk on his Truth Social platform saying, “I am saddened to watch Elon Musk go completely ‘off the rails,’ essentially becoming a TRAIN WRECK over the past five weeks.

He even wants to start a Third Political Party, despite the fact that they have never succeeded in the United States –
The System seems not designed for them.

Neil Wilson, UK investor strategist at Saxo Markets, said, “Investors are worried about two things – one is more Trump ire affecting subsidies and the other more importantly is a distracted Musk.

Investors had cheered Musk stepping back from frontline politics but are now worried he’s going to sucked back in and take his eye off Tesla.