Tesla’s stock rose 5.6% in Frankfurt trading on Friday following a report that White House aides have arranged a call with CEO Elon Musk. The call aims to ease tensions after a public dispute between Musk and U.S. President Donald Trump.
The feud escalated when Trump threatened to cut government contracts to Musk’s companies, and Musk responded by suggesting Trump should be impeached. This conflict played out openly on social media.
The previous day, Tesla shares fell sharply by 14.3% in New York, wiping out about $150 billion in market value.
The drop followed Musk’s criticism of a House Republican spending bill, which includes the removal of a $7,500 electric vehicle tax credit that benefits Tesla.
Analysts warn this could reduce Tesla’s annual profits by $1.2 billion. Despite this, Tesla’s stock gained on news of the planned White House call, signaling hopes for a resolution to the dispute.
The tension between Musk and Trump has unsettled investors, but the upcoming discussion may help restore some stability to Tesla’s market performance.
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