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Trump’s Libra Slam May Have Kneecapped Facebook Stock

News Feed - 2019-07-29 02:07:39

In the age of Trump, all it takes is a single tweet to move the stock market. And the president may have done just that when he launched a tripartite attack on Facebook’s Libra cryptocurrency. Facebook Stock Can’t Shake the Trump Dump


Facebook stock has remained trapped in a holding pattern since Trump gave Mark Zuckerberg’s crypto plans a big thumbs down, even as the Nasdaq and S&P 500 have continued to press toward new all-time highs.


FB shares dipped to $199.31 in after-hours trading on Friday, placing them roughly 1% below where they stood on July 11 when Trump unexpectedly proclaimed that Libra would “have little standing or dependability” and would never compete with the US dollar. Facebook stock has traded sideways since Trump unloaded on Libra. | Source: Yahoo Finance


That’s not a large decline, but it does place Facebook on a different trajectory from the rest of the stock market. The Nasdaq has added 134.17 points or 1.6% since its July 11 close, while the S&P 500 has advanced 25.95 points or 0.9%.


The divergence is even more pronounced since Libra chief David Marcus appeared on Capitol Hill and suffered a shellacking from Facebook critics hailing from all corners of the political spectrum. The consensus coming out of Marcus’ two days of testimony was that Libra faced a brutal road to regulatory approval – if the controversial cryptocurrency ever launches at all. FB shares are faring even worse since David Marcus testified on Capitol Hill. | Source: Yahoo Finance


Not even a bullish earnings report has been enough to lift Facebook back to index parity, though FB shares did enjoy a fleeting spike above both the S&P 500 and Nasdaq that quickly gave way to its previous downtrend.RelatedPosts Jeremy Lin’s $65 Million a Cold Comfort as NBA Champ Hits Rock BottomAmid Bitcoin Price Drop, Crypto Analyst Foresees Sustained Rally Trump’s Bitcoin-Bashing May Have Contributed to 15% Sell-Off


On the other hand, Facebook stock’s sluggish fortnight looks far more appetizing than the bitcoin price’s ugly trajectory since the Trump administration initiated a series of verbal attacks on the flagship cryptocurrency. The bitcoin price is down nearly 20% since Trump said he wasn’t a fan. | Source: Yahoo Finance


At last check, the bitcoin price was teetering around $9,500, more than 15% lower than when Trump became the first US president to utter the word “bitcoin.” Tags: Donald TrumpfacebookLibra