On Monday, Trump Media & Technology Group Corp. saw a 31% increase, hitting a peak not seen since June 12.
Monday saw a sharp increase in the shares of Donald Trump’s media company as the so-called Trump trade gained traction across markets following the former president’s abortive attempt over the weekend.
Trump Media & Technology Group Corp., a company that started earlier this year and trades under the ticker DJT, increased 31% on Monday to hit its highest level since June 12. To begin the week, other stocks that were thought to gain from the Republican gaining a second term, such as miners of cryptocurrencies and private prison companies, also saw gains.
The CEO of Tuttle Capital Management, Matthew Tuttle, stated that the Trump trade is the main topic of discussion at the moment. Given that investors frequently use the stock as “the direct Trump trade,” the response in Trump Media shares is anticipated, he continued.
PredictIt data shows that following the incident, the likelihood of the presumed Republican candidate—who was shot during a Pennsylvania rally on Saturday—winning a second term rose.
Since the company’s launch in March, investors have reacted differently to Trump and Vice President Joe Biden’s fluctuating prospects of winning the presidential contest. The corporation, which runs the social media platform Truth Social—which was introduced following Trump’s exclusion from major websites in the wake of the 2021 Capitol riot—is primarily owned by the former president.
Rumble Inc., a conservative video network, saw a 21% increase on Monday, hitting a session high following Trump’s announcement of Ohio Senator JD Vance as his running partner. Co-founder of Narya Capital Management, a venture capital firm, Vance took part in the Rumble financing round in 2021.
In general, the industries that were thought to gain from another Trump administration were strengthened by the presidential candidate’s increasing chances of winning. Smith & Wesson Brands Inc. saw its largest gain since March as gun stocks increased. GEO Group Inc. and CoreCivic Inc., two private prison firms, increased.
As Bitcoin surged, stocks related to cryptocurrencies, such as Coinbase Global Inc., and miners, like Marathon Digital Holdings Inc., saw gains. Following Elon Musk’s endorsement of Trump, Tesla Inc.
Given that Democrats are thought to be more supportive of the solar energy sector, shares of solar energy companies fell in the interim. For the first time since February, the Invesco Solar ETF fell.
The broader market ticked higher to start the week, with the S&P 500 rising about 0.3%.
“While expectations of a Trump win in November are boosting futures this morning, the event is unlikely to sustainably impact markets,” wrote Tom Essaye, president and founder of Sevens Report.
