Key Points
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Over the weekend, Tesla CEO Elon Musk announced the creation of a new political party called the America Party.
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President Trump expressed frustration with the move, stating Musk has “gone off the rails.”
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Tesla’s stock (NASDAQ: TSLA) has dropped 7.5% as of 11:31 a.m. ET following the announcement.
Tesla’s (NASDAQ: TSLA) stock has fallen by 7.5% as of 11:31 a.m. ET today after Elon Musk revealed the formation of the America Party. Musk stated the party will focus on gaining representation in the U.S. House of Representatives and Senate, aiming to “give you back your freedom.”
The announcement has reignited tensions between Musk and former President Donald Trump, who criticized the new political endeavor. Investors previously reacted negatively to Musk’s involvement in government initiatives, leading to concerns about potential brand damage resulting from his political commitments.
