Overview

• On June 5, Elon Musk wrote on X that President Trump’s tariffs would trigger a recession in the second half of 2025.
• Trump fired back on Truth Social, vowing to pull federal contracts from Tesla, SpaceX and other Musk-led ventures.
• Musk escalated the feud by claiming that Trump appears in unreleased FBI documents linked to Jeffrey Epstein.
• Tesla shares plunged over 14% the same day, even as the broader market posted gains.
• The CBO projects that Trump’s tax legislation will add $2.4 trillion to the national debt over the next decade, intensifying concerns about tariff-driven inflation and fiscal stability.