In the aftermath of the recent showdown between former President Donald Trump and current U.S. Vice President Kamala Harris in the lead-up to the upcoming presidential election, market indicators suggest that Harris may have delivered a more compelling performance. This sentiment is reflected in the notable decline of Trump Media (NASDAQ: DJT) stock following the debate, with prices hitting a new low for 2024 in a challenging trading environment as noted by trading expert Steven Spencer.
The Trump Media stock price has spiraled downwards drastically, plummeting by 15.62% in a single day, marking a weekly decline of 7.53% and a one-month dip of 38.16%. Year-to-date figures also show a substantial loss of 10.89% according to the latest available data.
Despite witnessing a steady recovery previously due to Trump’s resurgence in popularity over Harris in prediction markets, Trump Media stock has now experienced a steep reversal. The significant drop in share prices, falling from $19.91 to $15.75 in less than a day, indicates a potential continued decline towards the $10 threshold if public sentiment continues to favor Harris.
While Harris seems to be gaining traction in prediction markets while Trump’s standing diminishes, they both currently hold a 49% chance of victory based on the latest data from the Polymarket platform. The sensitivity of Trump Media stock to developments and news related to Trump underscores its reliance on his electoral prospects; thus, its performance could hinge significantly on his potential re-election in the upcoming election.
Investors should approach such speculative investments cautiously and conduct thorough research before making any financial decisions.