Elon Musk just took a $34 billion punch to the wallet — and some say it’s a price he paid for picking a fight with President Donald Trump.
On Thursday, a nasty and very public social media brawl between Tesla titan Elon Musk and President Trump sent Tesla’s stock into a nosedive, plummeting 14% and vaporizing tens of billions from Musk’s personal fortune in a matter of hours.
According to the Bloomberg Billionaires Index, Musk’s net worth cratered to $334.5 billion, down from over $368 billion the day before — marking the second-largest single-day drop in the index’s history.
“The richest man on Earth just learned what happens when you tangle with Trump,” said one senior market analyst who spoke on condition of anonymity. “The America First crowd doesn’t take kindly to tech elitists trashing the most pro-business president in decades.”
What Sparked the Feud?
It all started with a bombshell post from Musk on X (formerly Twitter), where he slammed the Republican-led budget reconciliation package — nicknamed the “One Big Beautiful Bill” — calling it a “disgusting abomination” and accusing lawmakers of “ramming it through in the dead of night.”
Trump, speaking from the White House during a joint press appearance with German Chancellor Friedrich Merz, fired back:
“I’m very disappointed in Elon,” the president said. “We gave Tesla every advantage — subsidies, contracts — and now he’s throwing a tantrum because we’re cutting waste and giving tax relief to hardworking Americans.”
Trump also warned that Musk could be on the verge of losing federal perks, saying, “Maybe it’s time we pull the plug on those sweetheart SpaceX contracts. We don’t reward disloyalty.”
Musk Fires Back: “I Got You Elected!”
The verbal grenades didn’t stop there.
Musk claimed he was blindsided by the bill and wasn’t even shown the final draft before it passed. He also declared — in a now-deleted post — that SpaceX would begin decommissioning its Dragon spacecraft program in protest. Hours later, he reversed course, claiming it was “just frustration talking.”
The most eyebrow-raising claim? Musk posted that he was responsible for Trump’s 2024 win, writing: “I delivered you millions of votes. You know it. Don’t bite the hand that fed you.”
That post went viral — and reportedly infuriated Trump loyalists in D.C. and Wall Street alike.
Wall Street Reacts — And It’s Ugly
Tesla stock plunged 14% by the closing bell, wiping out investor confidence and triggering a wave of panic selling.
“It was a bloodbath,” one analyst at Morgan Stanley told Fox Business. “Retail traders got crushed. Institutions got nervous. The idea that the federal government could yank Tesla’s subsidies and DoD contracts overnight is no joke.”
The crash cost Musk a jaw-dropping $34 billion, though he still retains his spot as the world’s richest person — with a sizable cushion over Mark Zuckerberg ($241B) and Jeff Bezos ($229B).
Trouble Brewing Between MAGA and Musk?
Musk has long been a controversial figure on the political right — at times aligning himself with free speech absolutism and deregulation, while also clashing with GOP figures over environmental policy and space contracts.
This latest feud with Trump may mark a turning point.
Some Republican strategists are already speculating that Musk could face political retaliation, especially if he continues to oppose Trump’s economic agenda.
“You don’t get to bash the GOP’s biggest tax cut in history and expect a pat on the back,” said Texas Congressman Chip Roy. “Musk made his billions in America. He needs to remember that.”
Still on Top — For Now
Despite the historic loss, Musk’s fortune remains staggering. Just last December, he briefly peaked at $439.2 billion, thanks to a string of SpaceX launches and Tesla’s booming international market.
But Thursday’s selloff, combined with rising political tensions, could mark the start of a new chapter — one where Musk is no longer seen as a darling of the right, but a volatile wildcard.
And with Trump sharpening his knives ahead of a second-term agenda focused on “cutting waste, breaking up Big Tech, and putting America first”, insiders say Musk might want to pick his battles more carefully next time.
As one GOP aide put it bluntly: “You don’t mess with the Don.”
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The tax portion of the Big Bad Bill is indeed a problem. My opinion: No good will come to our nation from those tax changes, which are focused and focused poorly. As to Elons loss in net worth, if he could accomplish two things with Tesla, that would all change. One. Vastly improved Quality Control in manufacturing. Two. A new battery for Tesla, ideally a solid-state Li On or other longer life, faster charging, non-flammable battery. Until there is a new battery, Tesla and all EV’s are still Version 1 EV’s.
When will people wake up and realize that anytime they align themselves with Trump. Something bad happens to them?