(Photo : X.com)

• Tesla's stock surged by nearly 15% following President-elect Donald Trump's victory and his praise of Elon Musk.
• Trump's expected policies on EV purchase tax credits could significantly benefit Tesla.
• Musk, a staunch supporter of Trump, congratulated him on his victory and expressed his vision for America.
• The surge in Tesla's stock underscores the significant impact of political events on stock markets and the potential growth of the EV industry under Trump's presidency.

In a remarkable turn of events, the stock of Tesla, the electric vehicle (EV) company run by Elon Musk, experienced a significant surge of nearly 15% in early trade on Nasdaq on Wednesday. This surge, which occurred in the wake of President-elect Donald Trump's victory, catapulted Tesla to be one of the biggest winners in the S&P 500 index. The stock's value jumped 14.5% to $287.93 a share, a significant increase that was largely attributed to Trump's win and his subsequent praise of Musk.

The President-elect, in his victory speech at the West Palm Beach convention centre in Florida, lauded Musk as a super genius, a statement that seemed to resonate with investors and the market at large. This surge in Tesla's stock added a staggering $120 billion to the company's market value, pushing it above the $900 billion mark for the first time since July 2023.

Trump's Policies and Their Impact on Tesla

This development is expected to have far-reaching implications for the EV industry, especially considering Trump's expected policies on EV purchase tax credits. The President-elect is anticipated to reduce or even eliminate these credits, a move that would significantly benefit Tesla and enable it to grow further at scale.

Trump's praise of Musk was not limited to his victory speech. He also referred to the tech billionaire as a super genius during his campaign, stating, Let me tell you, we have a new star. A star is born - Elon. Musk is a special guy, he's a super genius. We have to protect our geniuses - we don't have many of them. This endorsement from Trump seemed to have a positive impact on Tesla's shares, which started gaining momentum after his remarks.

In addition to Tesla, the stock of Trump Media & Technology Group also saw an increase of over 6% to $35.99 in early trade. Trump, who owns the majority stake in the group, has been a vocal supporter of Musk throughout his presidential campaign.

Musk's Support for Trump and His Vision for America

Musk, for his part, has been a stalwart supporter of Trump. He congratulated Trump on his victory, stating, The people of America gave @realDonaldTrump a crystal-clear mandate for change tonight. This statement was made amid a record usage of his platform, indicating the widespread attention and interest that the election results garnered.

Musk also compared the pressure he faced to that experienced by Trump, stating, Sure it was a lot of pressure, but it pales by comparison with President @realDonaldTrump, who they tried to kill twice, bankrupt and imprison for eternity. This statement underscores the challenges that both Musk and Trump have faced in their respective fields, and their resilience in overcoming them.

In a broader perspective, Musk's support for Trump and his policies is reflective of his vision for America. He stated, America is a nation of builders. Soon, you will be free to build. The future is going to be fantastic. This optimistic outlook, coupled with his significant donation of more than $119 million to America PAC - a political action committee he created to support the former President, underscores his commitment to fostering growth and innovation in the country.