Following the recent debate between former President Donald Trump and current U.S. Vice President Kamala Harris for the upcoming United States presidential election, there has been a notable shift in the stock market sentiment. It appears that Harris was perceived as more persuasive than Trump, given the impact on Trump Media (NASDAQ: DJT) stock prices.
After the debate, Trump Media stock experienced a significant downturn, wiping out all previous gains and reaching a new low for 2024. Professional markets trader Steven Spencer described the trading market as “brutal” following these observations shared in an X post on September 11.
The latest data shows that the Trump Media stock price plummeted by 15.62% in a single day, with a weekly decline of 7.53%, a one-month drop of 38.16%, and a year-to-date decrease of 10.89%, currently standing at $15.78.
While Trump’s stock had been recovering steadily after he regained popularity over his rival in prediction markets, recent developments have forced a significant retracement. The rapid decline saw DJT shares drop from $19.91 on September 10 to $15.75 in less than a day, marking a decrease of up to 20.89%.
As Harris gains traction in prediction markets and Trump’s standing diminishes, both candidates are currently at a 49% probability of victory based on information from the cryptocurrency-based platform Polymarket.
The sensitivity of Trump Media stock prices to events surrounding the former president implies that a potential re-election could benefit the stock, although conducting thorough research before investing is crucial.
In light of these developments, there is speculation on whether Trump Media stock may further decline towards $10 before the presidential election in November. It is important to note that investing carries risks and should be approached with caution.