SpaceX and Tesla Fall Over 4% Premarket Following Democratic Midterm Election Sweep

SpaceX shares dropped 4.5% in premarket trading alongside a 4.5% decline in Tesla stock following Democratic sweeps in the 2026 U.S. midterm elections. The declines follow Democratic victories in both chambers of Congress and across Texas races, including the Senate and gubernatorial contests. Investors reacted to regulatory headwinds facing Elon Musk's companies, including potential scrutiny of government contracts and merger reviews between SpaceX and Tesla. The drops threaten more than $140 billion in combined market value. Musk had spent at least $446 million backing Republican campaigns during the election cycle.