Conflict between Trump and Musk… Tesla’s market cap plunges by ₩206 trillion in a day [New York Stock Exchange Briefing]

Korea Economic Daily

Summary

It was reported that due to the conflict between President Trump and CEO Elon Musk, Tesla’s stock price plunged by 14.26%.
It was stated that Tesla’s market capitalization shrank by about ₩206 trillion in just one day.
Investors are paying close attention to the May employment report, which is scheduled to be announced on the 6th.

As the relationship between President Donald Trump of the United States and Elon Musk, CEO of Tesla, has reached a breaking point, Tesla stock prices plummeted, resulting in a decline in the New York Stock Exchange.

On the 5th (local time) at the New York Stock Exchange, the Dow Jones Industrial Average closed at 42,319.74, down 108.00 points (-0.25%) from the previous session.

The S&P 500 index ended at 5,939.30, down 31.51 points (-0.53%), while the NASDAQ Composite index closed at 19,298.45, down 162.04 points (-0.83%).

The New York Stock Exchange opened higher in the morning trading session on news that President Trump and Chinese President Xi Jinping had a phone call and agreed to resume trade negotiations between the two countries. The S&P 500 index attempted to break past the 6,000 mark during trading.

However, as Musk and President Trump exchanged sharp attacks all day, indices were dragged down. President Trump threatened to cut off government subsidies and contracts to Musk, who has criticized his core legislative agenda. As a result, Tesla stock prices plunged by 14.26% amid investor concerns.

Due to the stock plunge, Tesla’s market capitalization evaporated by $152 billion (about ₩206 trillion) in a single day. Investors are now focusing intently on the May employment report to be released on the 6th.

Reporter Lee Min-hyung, Hankyung.com meaning@hankyung.com