Tesla and SpaceX lose $456 billion in market value after US midterm elections

Tesla and SpaceX lost roughly $456 billion in market value within two days following the US midterm elections, where Republicans lost control of Congress to Democrats, dealing a major financial blow to Elon Musk. Musk had invested hundreds of millions of dollars in Republican campaigns. Stocks recovered slightly on Friday, with Tesla up 1 percent and SpaceX up 5 percent, but analysts warn of stricter tech regulation and potential congressional investigations under Democratic leadership. Both companies are headquartered in Texas, which will now have Democratic governors. A major investor, Scottish Mortgage Investment Trust, reduced its SpaceX stake from 15 to 11.1 percent and sold its remaining Tesla shares, citing increased competition in China.