Protestors in Seattle on February 19, 2025 (David Ryder/Getty Images)

Tesla’s postelection romp now a lot less impressive

Gains of more than 90% in the immediate aftermath of Trump’s victory have largely been lost.

2/25/25 3:37PM

With the end of the trading day coming into view, Tesla is on track for its second-worst daily drop of the year.

The decline, ostensibly triggered by a sharp drop in Tesla sales in Europe, underscores the reversal in the share price of the electric vehicle maker in the aftermath of the US presidential election.

Tesla shares were part of an idiosyncratic pack of stocks — along with Palantir and taser maker Axon — that exploded in the aftermath of Trump’s victory in the US presidential election on November 5, 2024, as such stocks were thought likely to benefit in some way from their alignment with some aspects of Trump’s political agenda.

After the election, the stock was up more than 90% at one point, but since then those gains have been pared to just 20%.

Some would-be Tesla buyers are seemingly a bit turned off by CEO Elon Musk’s immersion in right-wing politics in both the US and Europe; investors may likewise be leery.

The stock price gyrations of the electric vehicle maker continue to be a more closely tied to crypto, an asset that famously lacks fundamentals, than the US stock market. Over the past three months, the correlation of weekly returns for Tesla and the S&P 500 is 41%. For Tesla and bitcoin, that’s sitting at 52%.

Toby Bochan

Market Wrap

12h

Stocks rise amid optimism around US peace plan for Iran

Gains in technology supported the broader market rally.

Max Knoblauch16h

JetBlue surges following report it is exploring potential merger partners

Shares of JetBlue spiked more than 15% midday Wednesday following a Semafor report that the airline is exploring merger partners.

The company has explored Washington’s regulatory temperature around a potential merger with United Airlines, Southwest Airlines, and Alaska Air, per the report. When Semafor reached out to JetBlue regarding the exploration, it declined to comment.

JetBlue’s attempt to acquire budget rival Spirit was blocked by the Biden administration in 2024.

Exclusive: JetBlue explores potential merger partners

JetBlue’s attempt to acquire budget rival Spirit was blocked by the Biden administration in 2024.

Matt Phillips17h

Sandisk, Micron dive as Google Research unveils AI algorithm to reduce memory demands

This might be an unfortunately memorable day for the memory trade.

Memory stocks Sandisk, Micron, Seagate Technology Holdings, and Western Digital sank Wednesday after Alphabet’s Google Research group published details of a new algorithm known as TurboQuant.

Per Google’s extremely technical release, TurboQuant is an algorithm that allows for a data technique called “vector quantization” to be used while addressing the issue of so-called “memory overhead,” allowing data in AI models to be compressed without reductions in accuracy or requiring retraining, while reducing the memory storage requirements at data centers.

And that outlook seems to be enough for the market to be sending memory stocks down for the day.

TurboQuant: Redefining AI efficiency with extreme compression

And that outlook seems to be enough for the market to be sending memory stocks down for the day.

J. Edward Moreno17h

Fundrise’s venture fund extends rally, trading more than 2 dozen times above asset value

Fundrise Innovation Fund, a publicly traded venture fund that owns stakes in private companies like Anthropic, OpenAI, and SpaceX, is continuing to rally as the gap between the value of its stock price and its underlying assets grows.

Shares of the fund, which uses the ticker VCX, closed at $314.99 on Tuesday and rose to $533 by Wednesday morning — a nearly 70% jump for the day and a more than 1,500% increase in the value of its stock since it went public on March 19.

Fundrise’s vertiginous price action underscores just how hungry retail investors are for exposure to high-flying private companies, even at increasingly eye-watering implied valuations.

Fundrise’s venture fund, which owns private tech giants like Anthropic and SpaceX, surges as retail investors pile in

Fundrise’s vertiginous price action underscores just how hungry retail investors are for exposure to high-flying private companies, even at increasingly eye-watering implied valuations.

17h

LET THERE BE LIGHT

Matt Phillips