Trump Media Stock Drops 10% to Kick Off the New Administration | Global News Avenue

President Donald Trump’s social media stocks are falling within his first hours in office.

Shares of Trump Media Technology Group (DJT), the company that owns the Truth Social platform, recently fell 10% to around $36. They’ve mostly fallen since hitting January highs above $40 and pre-election highs above $50, although they’ve gained somewhat this year and are well above the lows hit earlier in the fall.

The latest moves come as traders seek to prepare for a fresh start new government. There have been a slew of “Trump trades” at various times since Trump was re-elected – ranging from bullish on oil stocks, big financial institutions and companies in negotiations to cautious on inflation, vaccine makers and government contracting businesses – US stock index Generally higher today.

Cryptocurrency – in the form Bitcoinmemecoins, industry stocks and other assets and gadgets – have also attracted investor attention.

Trump Media Inc.’s stock has a market value of nearly $8 billion, and while its volatility over the past few months suggests it can capture investor attention the way a meme stock might, it’s a relatively small part of the story.

“Watch for post-Monday (inauguration) selling news flow action,” VandaTrack analysts wrote last week on the move in Trump media and cryptocurrency stocks. “The subsequent decline in these stocks was accompanied by strong retail buying, This means institutional investors get ahead of retail traders and use them as exit liquidity, causing prices to get stuck later.”