Tesla shares fall 14% as Musk-Trump feud escalates, wiping USD 150 billion in value and pressuring Wall Street despite tariff talk optimism.

NEW YORK >> Wall Street’s stock indexes ended lower today in choppy trade as a slump in Tesla shares offset news of progress in tariff talks between President Donald Trump and Chinese leader Xi Jinping.

“The easiest way to save money in our Budget, Billions and Billions of Dollars, is to terminate Elon's Governmental Subsidies and Contracts,” Trump wrote on his social messaging service Truth Social. “I was always surprised that Biden didn't do it!”

Tesla's market capitalisation fell below the $1 trillion mark and ended the day at $916 billion, its biggest single-day loss in value ever.

As Elon Musk and Donald Trump take jabs at each other online, their respective businesses are plummeting in value.

The S&P 500 fell 0.6% on Thursday, June 5, as unemployment claims raised doubts about the labor market ahead of Friday morning's jobs report.

Tesla shares plummet as Trump threatens to cut subsidies, contracts, potentially impacting autonomous vehicle plans and SpaceX.