President-elect’s Truth Social post sparks dramatic market rally
In a remarkable demonstration of social media’s impact on market dynamics, a single Truth Social post by former President Donald Trump sparked a significant rally in his media company’s stock, adding approximately $500 million to his net worth, according to CNN reports.
The dramatic shift occurred Friday as Trump Media and Technology Group’s stock rebounded from a sharp decline that had seen shares plummet 42% from their post-election peak on Wednesday. The turnaround came after Trump directly addressed market rumors on his platform.
“There are fake, untrue, and probably illegal rumors and/or statements made by, perhaps, market manipulators or short sellers, that I am interested in selling shares of Truth,” Trump wrote on his platform, immediately triggering a market response.
Immediate market impact
The post’s effect was swift and substantial:
- Stock climbed nearly 15% by Friday’s close
- Trump’s 114.75 million shares increased in value from $3.2 billion to $3.7 billion
- Company’s total market capitalization approached $7 billion
Election impact on investor sentiment
The recent market activity follows a pattern of election-related trading, with Trump Media’s stock experiencing a remarkable 200% surge in the six weeks leading up to the presidential election. Investors had positioned themselves based on betting markets that favored a Republican victory, despite polls showing a close race between Trump and Vice President Kamala Harris.
Ownership structure
Trump maintains a controlling interest in the company.
- Holds approximately 53% of Trump Media
- Owns nearly 115 million shares
- Total stake valued at $3.7 billion after Friday’s rally
Market pattern analysis
Market experts note that while the week’s overall gain for Trump Media stock was modest at 4.4%, the incident illustrates the classic “buy the rumor, sell the news” trading pattern, which was temporarily disrupted by Trump’s direct intervention in market sentiment.
The former president’s market-moving statement aligns with his September declaration that he had no intentions of selling shares or departing from the platform he established.