Elon Musk Loses $34 Billion in a Day Following Clash with Trump

Elon Musk’s net worth dropped by a staggering $34 billion on Thursday, June 5, following a public feud with former President Donald Trump. The loss, recorded by the Bloomberg Billionaires Index, ranks among the sharpest single-day declines in Musk’s personal fortune.

The downturn came after Musk posted a series of controversial tweets, including allegations linking Trump to Jeffrey Epstein and implying that Trump played a key role in securing the 2024 presidential election outcome. The remarks triggered immediate retaliation from Trump, who threatened to revoke federal contracts with Musk’s companies, including Tesla and SpaceX. He also warned of rolling back the electric vehicle tax credit, a key financial incentive introduced under the 2022 Inflation Reduction Act that offers up to \$7,500 to EV buyers—a move that could significantly affect Tesla’s market position.

In response, Musk fired back by announcing he would decommission SpaceX’s Dragon spacecraft, further escalating the clash. White House press secretary Karoline Leavitt weighed in, calling Musk’s remarks “unfortunate” and suggesting his frustration stemmed from being excluded from recent legislative wins. “The President is focused on passing this historic piece of legislation and making our country great again,” Leavitt told *Business Insider*.

The fallout rattled investors, sending Tesla shares tumbling more than 14%, which wiped out an estimated \$138 billion in market capitalization. Bloomberg calculates that \$34 billion of that drop was tied directly to Musk’s holdings.

This is not the first time Musk’s tweets have had major financial repercussions. In November 2021, he polled Twitter users on whether he should sell 10% of his Tesla stock. Over 57% of the 3.5 million respondents voted “yes,” triggering a 16% decline in Tesla shares and a \$50 billion hit to Musk’s net worth.