Donald Trump has won the presidency and businesses connected with him and his allies are soaring. According to early financial reports, winners include banks, crypto-related stocks, and private prison companies. All of the worst people in the financial game.
Trump Media & Technology Group’s plummeted in the early hours of the election on Tuesday as people waited to see who would be elected president. It was up on Monday but crashed so hard during the election that trading of the stock was briefly halted. On November 3, it hit a low of $32.80 a share.
On Wednesday, however, as markets woke up to the news that Trump would return to the White House, DJT soared. It jumped 10% in after-hours trading on Tuesday night as the early returns from the election favored Trump. It’s up just under 8% so far today, trading at around $42 a share as of this writing.
Crypto stocks also won big following Trump’s election. Bitcoin hit a new all-time high of $73,737, a surge of almost 10%. Ether, Solana, and other cryptocurrencies followed suit. Trump, led by his son Barron, is a very crypto-friendly president. His campaign raised millions in crypto donations. On the campaign trail, Trump promised to make America the “crypto capital of the planet.”
Elon Musk is also reaping the early rewards of Trump’s victory. Tesla stocks have gained ground all morning and are up 15% as of this writing. Musk went all in on Trump after an attempt on the president-elect’s life over the Summer. He bet big on Trump winning. It appears the bet is already starting to pay off. In addition to a surging stock price, Musk is also expected to have a seat at the White House table. Musk has teased he’ll be responsible for slashing government spending, but the details aren’t yet clear.
Private prisons also saw a huge bump in stock prices. GEO Group is up a shocking 26% this morning and CoreCivic—once known as Corrections Corporation of America—is up 20%. Why? One of Trump’s big campaign promises was the mass deportation of undocumented immigrants. That kind of program will require a lot of infrastructure. Camps, if you will, in which to concentrate large groups of people. It’s a good bet that private prisons are poised to make a lot of money off the project.
Overall, the stock market loves the Trump victory. The dollar, yields on U.S. Treasury bonds, and the S&P 500 are all up. How long that will last is anyone’s guess. Even Elon Musk has insisted Trump’s policies will tank the U.S. economy.
