Big news coming from Wall Street! 🚨 Just recently, a group of seven major banks led by *Morgan Stanley* sold off nearly all of the12.5 billion in loans that helped *Elon Musk* buy *Twitter* (now *X*) in 2022. 🐦💸 The banks had been stuck with this debt for over a year, unable to find buyers—until now! 🧐
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*What Happened? 🤔*
- On *Thursday*, the banks offloaded *4.74 billion* worth of these loans—way more than the planned *3 billion*. 😱
- There was a *massive demand* from investors, with *12 billion* in orders coming in to buy up the debt. 💰
- This is a huge turnaround, considering how *toxic* these loans were considered just a few months ago. 💣
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*Why the Sudden Surge in Demand? 🔥*
- *Donald Trump’s return to the White House* and *Elon Musk’s new role* as “First Buddy” (thanks to his ties with Trump) have played a big part in this shift in investor sentiment. 🤝🏛️
- Musk’s decision to *merge his AI startup, xAI, into X* also helped boost confidence. 💡 With this move, the debt seemed much more secure. 📈
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*What’s Left? 🤷♂️*
- Although the banks managed to sell most of the debt at full price (some loans even traded above face value), there’s still about *1 billion* left in *risky*, *unsecured loans*. 🚨
- These remaining loans carry *higher interest rates*, but if X doesn’t perform, the lenders will be *last in line for repayment*. 😬
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*Tesla Struggles 🚗💨*
- While Wall Street’s celebrating, *Tesla* is struggling. 🚫
- *Tesla's stock* dropped *6%* on Tuesday, part of a *five-day losing streak*, wiping out over *$200 billion* in market value. 😱
- Why? A *Chinese automaker (BYD)* is teaming up with *DeepSeek* to develop *self-driving tech*, directly challenging Tesla’s dominance in the EV space. 🤖
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*Elon’s Busy Life 🏃♂️💼*
- Between *Tesla*, *SpaceX*, *X*, *xAI*, and now a *White House initiative* called *DOGE* (Department of Government Efficiency) under *Trump*, *Elon’s plate is full*. 🍽️
- Investors are getting *nervous* about him being spread *too thin*. 🧐
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*In Short:*
- *Wall Street is happy* as the Twitter debt has been offloaded with high demand. 💸
- *Tesla’s stock is struggling* as competition heats up. 🚗
- *Elon Musk’s juggling act* is looking more complicated by the day. 🎭
We’ll have to keep watching how this all plays out! 👀
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