Chief Investment Strategist, The Freeport Society
Losing $100 is painful for a miser like me.
Losing $1,000 would be unpleasant to most people, I reckon.
I can’t fathom what it would feel like losing $34 billion.
And to lose that much in a single day…?
All I can say is, “Thank God I’m not Elon Musk!”
The Trump-Musk divorce has gotten nasty. Like Michael Douglas, Kathleen Turner, and Danny DeVito’s 1989 War of the Roses movie about the bitter and destructive battle over possessions during an acrimonious divorce.
What started as a criticism about Trump’s “Big Beautiful Bill” and its impact on the budget deficit has quickly devolved into name calling and threats.
Musk accused Trump of being on Jeffrey Epstein’s list (ouch).
Trump threatened to cancel all of Musk’s federal contracts.
And Musk called his bluff by threatening to shut down the venture between NASA and SpaceX that ferries astronauts into space.
He even threatened to start a new political party.
By the end of the day, Tesla’s (TSLA) stock price had dropped over 15%.
Musk is the world’s richest man.
He has too much to lose by openly challenging the president of the United States.
So, as I write this, it looks like Musk is the new “TACO” trade on Wall Street.
The “TACO,” or “Trump always chickens out” trade is investors’ bet on Trump’s habit of ramping up his tariff threats only to back off once the stock and bond markets started dropping.
Perhaps the new trade is “MUSK”?
Makes Unhinged Statements, Kowtows?
Mouths off Until Stakes Kick in?
Makes U-Turn, Shrinks from Kickback?
So in today’s Navigator, let’s look at what insights this bitter Trump-Musk divorce holds for us as investors… and how we can grow our wealth as it unfolds.
MUSK: Market Undoes Showboating King!
For all of his unforced errors of late, Musk’s accomplishments as a capitalist are amazing. And I really mean that.
Electric cars had been around for decades, but they were hideously ugly and no one wanted to drive one. Until Musk made them cool and built them to be faster than Ferraris.
He effectively privatized NASA with SpaceX and he may single handedly win the space race to Mars.
He’s building the Vegas Loop, an underground transit system that uses the Tesla Model Y and Model X cars to shuttle people around under the city. This could be the future of urban transportation.
And, had he played his cards a little better, he might have legitimately slimmed down the government and made it more efficient with his DOGE efforts.
Still, for all his wealth and genius, Musk is as beholden to Mr. Market as the rest of us.
So, beyond the entertainment value of this public feud between the President and his former “first buddy,” remember this: Mr. Market humbles us all.
Don’t try to outsmart the market.
Instead, follow the money, look for evidence of big money buying or selling and jump on the bandwagon. This is what I do in my Freeport Alpha trading service.
And embrace a trading strategy in addition to your longer-term investments. This is something that my fellow Freeport Society friends Jeff Clark and Jonathan Rose excel at.
In particular, volatility wrangler Jeff has a strategy that feeds directly off events such as the current high-profile split…
New Approach to Building Wealth
These days, social media posts are like Molotov cocktails thrown at the market… unleashing chaos.
That’s easy to do when we’ve got economic and trade policies being proposed and implemented that are completely different from decades past… and as we witness the reordering of the global economy.
Investors are anxious.
So markets are volatile.
And they’ll stay this way for years to come.
This is good news for people like Jeff. He thrives in this Age of Chaos.
Right before Trump’s Liberation Day on April 2, 2025, he warned the markets were in for a wild ride. Since then, he’s closed 19 winning trades out of 25 recommendations… Three for triple-digit gains and 15 for double-digit gains. Many in as little as a week. Some in as little as one trading day.
And he hasn’t just profited from volatility in 2025. He’s harvested profits like these in some of the most volatile markets in living memory.
In the wake of the 2008 market meltdown, he recommended trades to his subscribers that led to 100% gains 10 different times.
And in 2022, when the tech-heavy Nasdaq plunged 32%, he gave his subscribers 12 different opportunities to double their money.
Now he’s getting ready to do it again. Next Wednesday, June 11, at 10 am ET, he’s hosting a special briefing about how you can profit using his “chaos pattern” strategy.
He’ll reveal a new software tool he’s developed along with the folks at TradeSmith.
And he’ll share details of 10 opportunities that can help you make winning trades in chaotic markets on your own.
Next Wednesday’s event is free to attend. All he asks is that you register in advance right here.
Par for the Course in the Age of Chaos
Beyond trading, there are steps you can take to protect and maximize your longer term investments.
For starters, keep your position sizes manageable.
Let’s say that you were a major believer in Tesla’s vision of driverless cars and AI-driven humanoid robots. You wanted to be a part of that future… and so you invested a large chunk of your portfolio in Tesla’s shares.
Well, when the shares collapsed yesterday, you might have panicked. And rather than buy the dip, you might have impulsively sold instead. After all, you didn’t know that Musk would back down. It was entirely possible that he doubled down and escalated the feud further.
If Tesla shares were a modest piece of your portfolio, you could have kept a cooler head yesterday when they tanked. And you could use the dip as a buying opportunity without putting your nest egg at serious risk.
What is a “reasonable sized” position?
I could write volumes on the science of position sizing, but as a rule of thumb I recommend against having more than 5% of your portfolio in any single speculative stock. Beyond basic risk management, I also recommend keeping chaos hedges in the portfolio.
Gold has been a mainstay in the Freeport Investor model portfolio since we launched in December 2023. The yellow metal is up 64% since I first recommended it.
I also recommended silver back in April. Now, after a recent breakout in silver prices, we’re up a little over 15%.
The Trump-Musk feud is another symptom of this Age of Chaos.
Be smart.
Stay disciplined.
Trade the chaos for profits. Jeff can help you. He’ll show you how on Wednesday. Remember to sign up here.
To life, liberty, and the pursuit of wealth.
P.S. If you register for Jeff’s event next Wednesday, June 11, at 10 am ET and sign up for VIP text alerts, he’s unlocking access to his Delta Direct trading service for the week. This is his direct-to-subscriber “squawk box” – no middleman or editor touches these words before they get to you.
Every day the markets are open, he’ll give you a morning trader update… and then updates on significant market moves throughout the day.
He also shares with you quick hit trade ideas. That’s a huge advantage. Of the 19 winning trades he’s recommended since April 2, he shared 11 of them in Delta Direct.
Sign up here now to take advantage of this chaos trading opportunity ahead of us.