---
title: "Behind Tesla's 14% Plunge: Tracing How Musk and Trump Went from Honeymoon to Rift"
type: "Topics"
locale: "en"
url: "https://longbridge.com/en/topics/30415497.md"
description: "Due to the disagreement and public spat between Musk and Trump over the proposed tax legislation, on June 5, $Tesla(TSLA.US) stock plummeted 14%, wiping out $153 billion in market value, setting a record for the largest single-day drop. According to S3 Partners, short sellers made $4 billion in profits during this decline. Now, the apparent 'bromance' between Musk and Trump has officially ended. Let's see how their relationship went from a honeymoon to a breakup: Before 2024: Distance and Criticism Musk once supported the Democrats (Clinton, Biden)..."
datetime: "2025-06-06T02:48:05.000Z"
locales:
  - [en](https://longbridge.com/en/topics/30415497.md)
  - [zh-CN](https://longbridge.com/zh-CN/topics/30415497.md)
  - [zh-HK](https://longbridge.com/zh-HK/topics/30415497.md)
author: "[热点君](https://longbridge.com/en/profiles/1450684.md)"
---

# Behind Tesla's 14% Plunge: Tracing How Musk and Trump Went from Honeymoon to Rift

Due to disagreements and public exchanges between Musk and Trump over proposed tax legislation, on June 5, $Tesla(TSLA.US)'s stock price plummeted 14%, wiping out $153 billion in market value, setting a record for the largest single-day drop. According to S3 Partners, short sellers made $4 billion in profits during this decline.  
  
Now, the apparent "bromance" between Musk and Trump has officially ended. Let's take a look at **how the relationship between Musk and Trump went from a honeymoon to a breakup:**

  
**Before 2024: Distance and Criticism**

-   Musk once supported the Democrats (Clinton, Biden).
-   Criticized Trump's first term and resigned from the advisory committee over the withdrawal from the Paris Agreement.
-   **2022:** Trump called Musk a "**bullshit artist**," and Musk retaliated by saying Trump was "**too old to run**."

**July 2024: Major Turning Point - Assassination Attempt and Massive Funding**

-   After Trump survived an assassination attempt, Musk **publicly supported** him.
-   Musk established a super PAC and **invested nearly $300 million** to support Trump, becoming the largest Republican donor.

**October-November 2024: Deep Ties and Election Victory**

-   Musk **actively campaigned**, calling himself "**Dark MAGA**" and predicting that a Trump loss would be the "**last election**."
-   Stayed at Trump's Mar-a-Lago on election night.
-   Trump praised Musk in his victory speech: "**A star is born—Elon!**"

**Late 2024-Early 2025: Power Collaboration**

-   Trump appointed Musk to co-lead the "**Department of Government Efficiency (DOGE)**," focusing on **slashing federal spending and agencies**.

**January 2025:** Musk became an **unpaid White House advisor** and the **de facto operator** of DOGE (an unofficial department).

**February 2025: Honeymoon and Early Cracks**

-   Both defended DOGE's radical reforms.
-   Trump promised to avoid conflicts of interest involving Musk.
-   At a cabinet meeting, Trump laughed off questions about Musk causing dissatisfaction.
-   **End of the month:** Trump **publicly restrained** Musk's power, emphasizing that layoff authority belonged to cabinet members.

**May 2025: Parting Ways**

-   Musk **left his position** after his term ended, receiving high praise from Trump.
-   Musk **immediately criticized** Trump's "Big and Beautiful Act," calling it **deficit-increasing and undermining DOGE's achievements**.

**June 5, 2025: Public Breakup - War of Words**

-   Trump attacked on Truth Social:

1.  Called Musk "**increasingly difficult**" and claimed **he had Musk removed**.
2.  Announced the **cancellation of the electric vehicle mandate** (directly targeting Tesla).
3.  Claimed Musk had "**gone crazy**" as a result.

-   Musk retaliated fiercely on X:

1.  Declared, "**Without me, Trump would have lost the election**."
2.  Simply reposted and replied "**Agree**" to a post **calling for Trump's impeachment**.

### Related Stocks

- [TSLA.US](https://longbridge.com/en/quote/TSLA.US.md)

## Comments (13)

- **xuedichao · 2025-06-11T12:09:41.000Z**: Okay
- **短线别浪 · 2025-06-06T13:28:36.000Z**: President's stock trading
- **anyjie · 2025-06-06T11:23:41.000Z · 👍 1**: I guess the argument is almost over
- **在镰刀下讨生活 · 2025-06-06T09:26:40.000Z**: Bought 2x short at 300, finally broke even last night.
- **特斯拉 大佬 · 2025-06-06T09:06:52.000Z**: There won't be any more below 300 this year. Those who got in yesterday made a huge profit. Trump bought at the lowest last night and has already reconciled.
- **绿恐龙 · 2025-06-06T07:25:09.000Z**: What is this AI tool?
- **九面 · 2025-06-06T05:06:47.000Z · 👍 1**: https://mp.weixin.qq.com/s/GrNLTjJDD88WKvcEtJB-qAMusk's fate was already sealed, Wang Anshi is a cautionary tale
- **资本马桶搋 · 2025-06-06T05:06:06.000Z**: Just teasing you
- **西西恩 · 2025-06-06T05:06:06.000Z · 👍 4**: They're doing day trading for you, and you're still here writing long essays.
- **你好。hi · 2025-06-06T05:03:01.000Z**: Don't understand. So are they really in conflict or just putting on a show?
- **EuphoriaHsuan · 2025-06-06T03:39:28.000Z · 👍 4**: What has Trump done to the market? The worst president in history.
  - **新用户_LjMnzT流量** (2025-06-06T04:02:43.000Z): Step down immediately.
  - **马斯克铁粉** (2025-06-06T04:04:09.000Z): Do you have any stocks?😀