Trump Media Stock Plummets Over 10% After First U.S. Presidential Debate

The first U.S. presidential debate between President Joe Biden and former President Donald Trump had significant implications on Wall Street, particularly for Trump Media. After the debate, Trump Media’s stock fell more than 10%, showcasing the volatile nature of the company’s shares.

Despite the decline, shares in the owner of social networking site Truth Social initially jumped 5% at the opening bell before experiencing a downward trend throughout the day. Overall, the stock still ended the week with a gain of over 18%.

During the debate, Biden and Trump sparred on various issues such as abortion, immigration, and the January 6th Capitol attack. Biden’s performance was perceived as uneven, with Trump countering criticism by spreading falsehoods about the economy, illegal immigration, and his involvement in the insurrection.

In response to the debate, Biden’s odds of remaining the Democratic party’s nominee dropped by 29% in political futures markets. Additionally, analysts at Citi noted increased interest in Trump Media Technology following the event.

The stock of Trump Media Technology, traded under the ticker symbol “DJT,” has been subject to extreme volatility since its debut in March. It has become part of the group of meme stocks known for drastic price swings, with the stock frequently experiencing double-digit percentage moves in a single day.

Despite the ups and downs, Trump Media reported significant losses of over $300 million in its first earnings report as a publicly traded company in May. Investors will be closely watching the company’s performance moving forward, as it continues to navigate the unpredictable world of Wall Street.