Reignited Trump-Musk feud burns Tesla investors, shares of EV company tumble 8 pc
New York, Jul 7 (AP): Shares of Tesla tumbled 8 per cent at the opening bell Monday as the feud between CEO Elon Musk and US President Donald Trump reignited over the weekend.
Musk, once a top donor and ally of Trump, announced that he was forming a third political party in protest over the Republican spending bill that passed late last week. Musk has been highly critical of the bill, which he said would kill jobs and bog down burgeoning industries.
In a social media post on Sunday, Trump said that the billionaire owner of SpaceX, Tesla and X had gone “off the rails” in recent weeks.
Investors fear that Musk's companies, which receive significant subsidies from the federal government, could suffer further if his feud with Trump continues to fester.
"With the autonomous future ahead and the AI Revolution in full force Musk/Tesla do not need to keep poking the bear as Trump can create more hurdles for Musk/Tesla/SpaceX over the coming years if this political battle gets nastier heading into mid-terms in 2026," Wedbush Securities analyst Dan Ives wrote in a note to clients late Sunday.
Tesla shares have been extremely volatile since Musk went all-in for Trump in the run-up to last year's election with the company facing a growing backlash as a result of Musk's embrace of right-wing politics and his role in the Trump administration.
Tesla sales plunged 13 per cent in the first quarter, and then repeated that performance in the second quarter, even though EV sales continue to rise for competitors, including big Detroit automakers.
Industry analysts believe a large part of that tail off is being driven by Musk's affiliation with Trump and far-right parties like Germany AfD.
Tesla is also facing rising competition globally, particularly from Chinese automakers such as BYD and Great Wall, which are quickly expanding globally, offering relatively affordable electric vehicles with ultra-fast battery charging systems.
Since hitting an all-time high of USD 479.76 on December 17, Tesla shares have lost about 40 per cent of their value. Tesla shares are down about USD 26 each since Thursday's close, to USD 289.75.
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Experience comes when you play bigger teams in bilateral series: Rashid Khan
Chennai (PTI): Afghanistan skipper Rashid Khan called for more bilateral series against stronger cricketing nations after his team signed off from the T20 World Cup on a high, defeating Canada in their final group match here on Thursday.
Afghanistan played some exhilarating cricket, going down to South Africa in a gripping second Super Over after the scores were tied, a humdinger that provided one of the early thrills of the World Cup.
However, the spin-bowling stalwart said Afghanistan could make significant strides if they get regular opportunities to compete against stronger cricketing nations.
"Couple of areas to improve, with the batting, the middle order got a bit stuck against the big teams, and then with the bowling the death overs. That comes when you play the bigger teams in bilateral series," said Rashid after his team defeat Canada by 82 runs, with him returning excellent figures of 2 for 19.
The stalwart said the side had arrived well prepared for the tournament and produced some breathtaking cricket, but admitted the narrow defeat to South Africa proved costly and remained a painful setback.
"We were well-prepared (for the tournament), we played some unbelievable cricket. The game against South Africa, that really hurt everyone. We had to win one of those (first two) games and see how the tournament unfolded. We'll take some positive things from this World Cup and look forward," he said.
With head coach Jonathan Trott set to part ways with the team, Rashid described the departure as an "emotional" moment for the side.
"I think we had some wonderful times with him. Where we are now, he played a main role. It's emotional to see him leave us, but that's how life is. We wish him all the best and somewhere down the line we see him again."
Ibrahim Zadran, who was named Player of the Match for his unbeaten 95 off 56 balls, said it was satisfying to finally register a substantial score after two below-par outings.
"I enjoyed it, didn't play better cricket in first two innings, which I expect. Wanted to back my skills, really enjoyed it. Pressure was there, it's there all the time. I want to put myself in pressure situations and enjoy it," said Zadran.
"Wanted to play positive cricket, rotate strike and punish bad ball, create partnerships and this is what I have done."
