Financial Services Association, November 6 (Editor Zhao Hao) On Wednesday (November 6) local time, Republican presidential candidate Trump won more than half of the electoral votes to lock in the US presidential election. He himself announced his victory in the 2024 presidential election.

Source: Finance Association

Affected by this news, the US stock market clearly picked up before the market. As of press release, futures for the three major indices have all risen by nearly 2%, and Tesla has risen more than 13%. Analysts believe that due to Tesla CEO Musk's support for Trump, the electric car manufacturer will be one of the main beneficiaries of Trump's return to the White House.

In this election cycle, Musk can be said to be Trump's highest-profile supporter. He not only provided more than 0.13 billion dollars in funding for Trump and other Republicans, but also frequently created momentum for the Republican Party and attacked Democrats on his social media network X.

Earlier in the day, Musk posted a photo of him waiting for election results with Trump at the Sea-Lake Estate on X. After Trump locked in the victory, Musk posted a photo of the rocket launch with the caption “The future (of America) will be excellent.”

Source: X

Although Musk does not fully represent the entire Silicon Valley and often makes controversial remarks, his strength in space exploration, electric vehicles, artificial intelligence, etc., has helped Trump attract important industry leaders in promoting innovation and technological development.

Daniel Ives, a technical analyst at Wade Bush Securities in the US, wrote, “Trump's victory will bring the greatest benefit to Tesla and Musk. Ives said Tesla would have a competitive advantage over other manufacturers if the US reduces policy preferences for electric vehicles.

In addition to Tesla, other parts of Musk's “business empire” will also receive huge returns, including lower corporate tax rates, looser regulations in labor law and environmental protection, and even SpaceX may have the chance to get more government contracts.

Earlier in the year, Richard Pierce (Richard Pierce), chair professor at George Washington University Law School in the US, told the media, “In the Trump administration, Musk will have much less trouble because both are hostile to regulators.”

Each of the six “Musk Group” companies has complicated relationships with the federal government. Angela Aneiros, an assistant professor of law at Gonzaga University Law School, previously predicted that “in the event of Trump's second term, federal agencies will shift the focus of investigations away from regulatory compliance issues.”

Regarding SpaceX, Musk mentioned that the “Mars Colony Plan” will only be possible under Trump's administration. In September, he wrote on X that “American laws and regulations are getting worse year by year,” and “if Harris wins, we will never be able to reach Mars.”

Also, Musk may play an influential role in the Trump administration. Trump previously promised that once he wins the election, he will appoint Musk to head the “Government Efficiency Committee.” Last week, Musk promised to find a $2 trillion reduction target in the government budget.

An in-depth article by the Financial Services Association mentioned the day before that an investment deduced the “Musk enters the White House” scenario. Piper Sandler's strategist team believes that the basket of stocks that are most sensitive to government spending may not perform well.