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Options traders pile into bearish bets on Tesla at fastest pace on record as Musk-Trump feud escalates - MarketWatch

1. Options traders heavily favored bearish bets on TSLA, reaching record levels. 2. TSLA experienced its largest daily market cap drop, losing $152.3 billion. 3. Musk and Trump's escalating feud could affect TSLA's government contracts. 4. Toyota's stock dipped 2% as market uncertainties impacted the EV sector. 5. Trading volumes soared, marking a significant increase in TSLA's market activity.

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FAQ

Why Very Bearish?

Record bearish trades indicate strong negative sentiment. Historical context shows similar reactions to regulatory concerns have led to significant stock declines.

How important is it?

Immediate market reaction and drastic price changes highlight high relevance to TSLA's valuation.

Why Short Term?

The ongoing feud and its immediate implications could lead to further volatility. Short-term price corrections are likely as traders react to news.

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