Elon Musk lost $34 billion in a single day after Tesla’s stock nosedived, sparking fears over the impact of his political feuds.
The drop followed a fiery clash with Donald Trump, shaking investor confidence and raising concerns about Musk’s government-linked ventures.
Elon Musk’s fortune took a staggering $34 billion hit on Thursday, June 6, 2025, after Tesla shares plunged by 14.26%, erasing $150 billion in the company’s market value. Despite the blow, Musk remains the world’s wealthiest individual with a net worth of $335 billion, according to the Bloomberg Billionaires Index. Meta CEO Mark Zuckerberg follows with $241 billion.
Tesla’s stock closed at $284.70, dragging major indexes with it. The Nasdaq slipped 0.83%, the S&P 500 dropped 0.53%, and the Dow declined 0.25%. Tesla, however, retains its position as the world’s most valuable car manufacturer, valued at around $1 trillion just a day prior.
The financial fallout coincided with a public political clash between Musk and former U.S. President Donald Trump. The dispute erupted over Trump’s reported decision to scrap electric vehicle (EV) tax credits a move that triggered Musk’s criticism. In response, Trump accused Musk of being upset over losing government benefits and hinted at the possibility of severing federal contracts tied to Musk’s ventures.
The confrontation intensified when Musk fired back online, saying, “Go ahead, make my day,” and hinted that Trump might be linked to documents related to Jeffrey Epstein further fueling controversy.
The market reacted sharply to the escalating feud, with investors expressing concern that Musk’s political entanglements could jeopardize his business operations. Particularly vulnerable is SpaceX, Musk’s aerospace company, which had an estimated value of $350 billion in late 2024 and holds several critical U.S. government contracts.
In an unexpected twist, Musk announced that SpaceX would retire its Dragon spacecraft, which plays a vital role in NASA missions. The decision was abruptly reversed within hours, leaving many puzzled and contributing to market unease.
Although this isn’t the first time Musk has experienced major fluctuations in net worth, the current situation underscores the broader risks tied to his increasing political involvement. With billions at stake and major government projects on the line, investors are watching closely as business and politics collide.
