Trump-linked stocks slip after initial gains from 2024 bid (updated)

Remark Holdings

16/11/2022 16:17

(Recasts lead, adds comments, details; updates prices
throughout)
    By Shreyashi Sanyal
       Nov 16 (Reuters) - Shares of companies tied to former
U.S. President Donald Trump reversed course to fall on
Wednesday, following a recent rally in the run-up to him
launching a bid to regain the presidency in 2024.
    Trump made the announcement on Tuesday, aiming to preempt
potential Republican rivals, a week after midterm elections
showed that the party had failed to win as many seats in
Congress as it had hoped.    
    "The likelihood of a Trump victory has been slimmed after
the Trump-supported candidates failed in the latest midterm
elections. Therefore, I believe that the knee-jerk reaction will
remain short-lived," said Ipek Ozkardeskaya, senior analyst at
Swissquote. 
    Shares of Digital World Acquisition Corp  DWAC.O , the
blank-check company looking to take Trump's social media venture
Truth Social public, fell 4.8% in early trading. The stock was
10% higher in premarket hours.
    It was still the most trending ticker on retail
investor-focused social media forum Stocktwits.
    Earlier this week, DWAC reminded stockholders to vote in
favor of extending the completion deadline for the proposed deal
with Truth Social. 
    Software developer Phunware Inc  PHUN.O , which was hired by
Trump's 2020 presidential re-election campaign to build a phone
app, shed 10.6%.
    Rumble Inc  RUM.O , a Canadian video platform popular with
conservatives, dropped 10.9%. Trump's Truth Social said in
August it would join Rumble's new ad platform as its first
publisher.
    Artificial intelligence solutions company Remark Holdings
 MARK.O , which has been linked to the former president on
social media sites, fell 2.6%. Reuters could not independently
verify the link between Trump and Remark.
    Remark and Phunware had gained 5% and 13% before the opening
bell.
 (Reporting by Shreyashi Sanyal in Bengaluru; Editing by Devika
Syamnath)
 ((Shreyashi.Sanyal@thomsonreuters.com; +1 646 223 8780; +91 961
144 3740; Twitter: https://twitter.com/s_shreyashi;))