Shares of Donald Trump’s media company rose on Monday following an attempted assassination of the former president over the weekend over the so-called Trump business.
Trump Media & Technology Group Corp, which trades under the symbol DJT and debuted earlier this year, jumped nearly 50% in early trading. Other stocks that would benefit from a Republican victory for another term — from private prison companies to cryptocurrency miners — rose in early trading.
“This is all about Trump’s business,” said Matthew Tuttle, managing director of Tuttle Capital Management. The reaction to Trump Media’s actions is expected because investors tend to view the stock as a “direct Trump business,” he added.
According to PredictIt, the Republican candidate who was shot at a rally in Pennsylvania on Saturday has seen his chances of winning a runoff election increase following the attack.
Trump Media shares have been volatile since their debut in March as traders reacted to the possibility that Trump and President Biden would flip to win the presidential race. The former president owns a majority stake in the company that runs the social media platform Truth Social, which launched after Trump banned major sites following the 2021 Capitol riots.
Conservative video company Rumble Inc. rose nearly 9% in early trading.
More broadly, the candidate’s increased likelihood of victory has boosted sectors that would benefit from another Trump term. Gun stocks rose, with Smith & Wesson Brands Inc. up more than 6% and Sturm Ruger & Company Inc. up about 5%. Private prison companies GEO Group Inc. and CoreCivic Inc. each rose more than 7%.
Cryptocurrency-related stocks including Coinbase Global Inc. and miners such as Marathon Digital Holdings Inc. are rallying alongside Bitcoin. Health insurers seen as potential beneficiaries of less regulation by the Trump administration are rising: UnitedHealth Group Inc. 2.1% and Humana Inc. 2.5% higher. Tesla Inc. rose nearly 4% after Elon Musk endorsed Trump.
Meanwhile, solar stocks have fallen as Democrats become more friendly to the industry. Enphase Energy Inc. and First Solar Inc. both fell about 4%.
The broader market is higher to start the week, with S&P 500 futures up about 0.4%.
“While expectations of a Trump victory in November are driving futures this morning, the event is unlikely to impact markets in a sustained manner,” wrote Tom Essaye, president and founder of the Sevens Report.
