The ‘Musk selloff’ deepens as Tesla and SpaceX combine for $450 billion two-day wipeout

$450 billion in combined market value evaporated from Tesla and SpaceX over the past two trading days, deepening what analysts are calling a ‘Musk selloff.’ The loss follows the recent U.S. midterm elections, which coverage ties to a broader market correction for high‑profile tech firms. The swift erosion of wealth has reignited debate over whether the dip presents a buying window. While the Musk‑led companies tumble, data‑center stocks are moving in the opposite direction.

GE Vernova rose 6% and Eaton gained 7% after reporting record orders, according to TIKR.com, and Barron's notes a rise in AI‑focused data‑center shares despite the post‑election slump. Investor’s Business Daily adds that new data‑center construction is still six months behind schedule, underscoring a sector‑specific resilience. Investors with exposure to the electric‑vehicle and launch sectors are feeling the immediate impact, while firms tied to AI infrastructure see fresh demand.

MarketWatch suggests the next few sessions will reveal whether buying pressure on Tesla and SpaceX resurfaces, and the data‑center lag report hints at potential supply constraints that could shape future earnings. Analysts will also watch for regulatory commentary that could affect the companies’ valuation.