Political Drama Shakes Wall Street Tesla Tanks, Finvasia Highlights Investor Jitters

A heated political standoff between Elon Musk and Donald Trump has rattled the markets, sending Tesla shares tumbling by over 17% and erasing nearly $380 billion in value. The conflict erupted after Musk criticized Trump’s tax policies, prompting threats to revoke Tesla’s government contracts. With the EV giant already battling declining deliveries and subsidy cuts, the timing couldn’t be worse. Finvasia, a global fintech firm, emphasized that such political entanglements pose growing risks for investors. Their analysts point to rising volatility in politically exposed sectors and recommend a more defensive approach. As tensions escalate and Musk hints at entering politics, the market remains on edge, watching closely for the next move.