Trump Media, gun stocks surge after assassination attempt
Updates price moves, adds details on Trump's pick for vice president, paragraphs 10-11
Trump's survival of assassination attempt boosts his lead over Biden in betting odds
Shares of gun stocks, private prison operators surge on expectations of Trump victory
Clean-energy stocks fall on potential reversal of climate policies
By Medha Singh, Noel Randewich
July 15 (Reuters) -Crypto stocks, gun stocks and shares of other companies that could benefit from a Donald Trump presidency jumped on Monday after an assassination attempt on the Republican candidate boosted expectations he would win the November election.
Trump's survival after he was shot in the earduring a rally in Pennsylvania on Saturdayincreased his already considerable lead in betting odds over PresidentJoe Biden.
Those odds rose more later on Monday after Trump chose U.S. Senator J.D. Vance to be his vice presidentialrunning mate as the Republican Party officially nominated the former president to run again at the start of the party's national convention in Milwaukee.
On politics-wagering website PredictIt, contracts for a Trump election victory traded at 70 cents, up from 60 cents on Friday, with a potential payout of $1. Contracts for a Biden victory were at 26 cents.
Shares of Trump Media & Technology Group DJT.O, majority-owned by Trump, soared 31%, lifting its stock market value to $7.7 billion, despite revenue comparable to two U.S. Starbucks shops.
Trump Media is the parent company of social media platform Truth Social, and its shares have now surged 132% in 2024 as retail traders bet Trump will win a second term as president. Added: He previously served from 2017 to 2021.
"It's nearly four months to go (until the election) and things can change, but today the markets are betting on Trump being the victor," said Ben Laidler, head of equity strategy at Bradesco BBI, adding that Trump Media "is the tip of the spear and the most sensitive to a Trump victory."
Shares of electric vehicle maker Tesla TSLA.O ended 1.8% higher after billionaire CEO Elon Musk publiclyendorsed Trump following the shooting.
Tesla gave back earlier gains of as much as 7% after the announcement of Vance as Trump's running mate.
Vance last year introduced legislation to eliminate EV tax subsidies and replace them with tax credits for U.S.-made gasoline or diesel-powered vehicles. The bill would gut a core part of the White House clean vehicle strategy and has no realistic chance of winning approval in the current Democratic-controlled Senate.
Crypto stocks soared on Monday, tracking a 10% rally in bitcoin BTC= to a two-week high. Trump has presented himself as a champion of cryptocurrency. Crypto exchange Coinbase Global COIN.O and bitcoin miners Riot Platforms RIOT.O and Marathon Digital MARA.O jumped between 11% and 18%.
Long-dated U.S. bond yields rose on expectations that Trump policies would drive up government debt and stoke inflation, while the benchmark S&P 500 .SPX rose 0.3%.
"Most investors are not changing their overall commitment to U.S. equities. After all, the broad stock market rose under the last Trump administration and has risen under the Biden administration as well," said Rick Meckler, partner at Cherry Lane Investments.
Gun makers and ammunition stocks Smith & Wesson Brands SWBI.O, Sturm Ruger & Company RGR.N and Ammo POWW.O jumped between 5% and 15%. Gun stocks in the past have surged following mass shootings, civil unrest and fears of gun control that have led to people to buy more firearms out of fear that their availability would become limited.
Shares of private prison operators Geo Group GEO.N and CoreCivic CXW.N each jumped about 8%. Both are potential beneficiaries of a Trump presidency as he has promised to crack down on illegal immigration, which could boost demand for detention centers.
Video-sharing platform Rumble RUM.O, popular with conservatives, soared 21%.
Clean energy stocks slipped as Trump has said he would reverse many of the Biden administration's signature climate policies, including tax incentives, if he wins the election.
The Invesco Solar ETF TAN.P fell 5.9% and the iShares Global Clean Energy ETF ICLN.O fell 3.9%.
The iShares MSCI China ETF MCHI.O dropped about 2%. Investors believe a second Trump presidency could fuel trade tensions between Beijing and the United States.
U.S. voters view Trump as the better candidate for the economy, according to Reuters/Ipsos polls, even as Biden's White House seeks to benefit from a solid economy with inflation slowing and low unemployment.
"In the absence of any real policy proclamations from Trump, traders are finding themselves having to speculate," said Mark Malek, chief investment officer of Siebert Financial Corp.
"A second Trump presidency would mean expansionary economic stimulus in general, lower income taxes, less regulation, and increased tariffs."
PredictIt bets https://tmsnrt.rs/3LmH4J1
FACTBOX-Trump's second-term agenda: trade wars, mass deportations, destroying 'deep state' nL1N3DM0XA
Reporting by Medha Singh in Bengaluru and Noel Randewich in Oakland, California; additional reporting by Pranav Kashyap in Bengalaru; Editing by Devika Syamnath and Matthew Lewis
免責聲明: XM Group提供線上交易平台的登入和執行服務,允許個人查看和/或使用網站所提供的內容,但不進行任何更改或擴展其服務和訪問權限,並受以下條款與條例約束:(i)條款與條例;(ii)風險提示;(iii)完全免責聲明。網站內部所提供的所有資訊,僅限於一般資訊用途。請注意,我們所有的線上交易平台內容並不構成,也不被視為進入金融市場交易的邀約或邀請 。金融市場交易會對您的投資帶來重大風險。
所有缐上交易平台所發佈的資料,僅適用於教育/資訊類用途,不包含也不應被視爲適用於金融、投資稅或交易相關諮詢和建議,或是交易價格紀錄,或是任何金融商品或非應邀途徑的金融相關優惠的交易邀約或邀請。
本網站的所有XM和第三方所提供的内容,包括意見、新聞、研究、分析、價格其他資訊和第三方網站鏈接,皆爲‘按原狀’,並作爲一般市場評論所提供,而非投資建議。請理解和接受,所有被歸類為投資研究範圍的相關内容,並非爲了促進投資研究獨立性,而根據法律要求所編寫,而是被視爲符合營銷傳播相關法律與法規所編寫的内容。請確保您已詳讀並完全理解我們的非獨立投資研究提示和風險提示資訊,相關詳情請點擊 這裡查看。