Trump's $50 Million Win While Market Plunges, Elon's CPR on Dell Computers

It’s Funday Friday everyone and while the market had anything but fun yesterday, hopefully we can see some type of jello shot pick me up in today’s price action. 

But while we await to see how our moods will be after looking at our portfolios going into the weekend, let’s leave it to pimpin Donald J. Trump and the cool nerd on the street Elon Musk to uplift our moods this beautiful A.M.

In today’s issue we have Donald Trump with a $50 million win while the market plunges…

And Elon Musk being a gift from God for old school Dell Computers.

As always, we have a lot to uncover so let’s get to it! 

Donald Trump Wins Big with $50 Million PAC Donation 

As the market fatigues like a frat bro after a weekend bender, Donald Trump has been raking in the dough like a Vegas casino. How? With none other than billionaire Timothy Mellon’s pocket books as he dropped a cool $50 million into Trump’s war chest on the same day Trump got slapped with 34 felony charges. Seriously… the same day! You can't make this stuff up.

So what’s up with the big Mellon’s guy? Well apparently he has enough spare change to fund a small country. Mellon’s $50 million donation to the pro-Trump super PAC, Make America Great Again Inc., isn’t just pocket change—it’s the largest individual contribution of the 2024 election season. However, this isn't the first time Mellon has opened his wallet for political causes; he’s already shelled out over $100 million this year alone. Imagine having “F” you money to dish out like that…

In fact, not only was Mellon’s contribution a major boost for the Trump campaign, which raised a total of $141 million in May, it’s quite a bit more than the $85 million President Joe Biden’s campaign managed to scrape together. Trump’s campaign now has $116 million in the bank, compared to Biden’s $91 million. For the first time in this election cycle, Trump’s got more cash on hand than Biden. It’s like Trump just caught a date with another supermodel while Biden’s still trying to figure out how Tinder works. 

Yet, the funny part about all of this is, Trump’s fundraising explosion came right after his conviction on 34 felony charges in the New York hush-money case. You’d think being found guilty of something would slow a candidate down, but nope—Trump’s supporters dug deep into their own hush-money expense accounts, apparently viewing his legal troubles as a badge of honor. 

With his newfound cash, Trump’s campaign is gearing up for a massive spending spree. MAGA Inc. has already reserved $3.5 million in TV ads set to start airing in Georgia and Pennsylvania. The super PAC reported raising $68.8 million in May alone and ended the month with $93.7 million in the bank. That’s a lot of money for a guy who’s been convicted of multiple felonies which almost feels like giving your kid a sucker after he’d just been caught stealing grandma’s cookies.

Source: Rolling Stone

On the other side, Biden’s campaign is still trying to pull in its grassroots supporters. They claim to have attracted over 3 million new donors last month, painting a picture of a campaign powered by ordinary Americans. Democratic National Committee Chair Jaime Harrison even took a jab at Trump, saying, “While Trump is leeching off his billionaire sycophants, our campaign represents the voices of America.” As if this is the voice of America… 

So, what’s the takeaway from all this? In a normal election, a candidate facing dozens of felony charges might be expected to bow out gracefully. But this is 2024, and Trump’s legal woes seem to be fueling his campaign rather than hindering it. With billionaire backers like Timothy Mellon, Trump is turning his courtroom drama into a fundraising bonanza.

As the market faces its first big red day in a sequence of bigger green days, Trump’s camp is sitting pretty with a war chest ready to flood key states with ads and build robust campaign infrastructure. Which isn’t surprising, because in the face of adversity, Trump just knows how to give a big “F” you to everyone in the way. 

Elon Musk Just Ignited a Resurgence in Dell Computers

It’s no secret that Elon Musk practically turns everything he does into gold (well maybe except naming his kids) but he’s just given Dell Computers (NASDAQ:DELL) a much-needed jolt of resurgence.  Yes, Dell, the company we all remember for those “Dude, you’re getting a Dell!” commercials, is back in the spotlight. And it’s all thanks to Musk’s latest AI venture, xAI.

**A New AI Alliance**

According to Elon, he’s just given the greenlight for Dell and Nvidia to team up to build the servers for his AI supercomputer. You know, the one that’s supposed to power xAI's Grok chatbot and revolutionize the annihilation of human existence?  Dell’s stock, which was in dire need of a caffeine shot, got just that. It skyrocked up to 8% yesterday, before Nvidia’s 7% plunge pulled the stock back down to earth. But still an 8% upward move in price action for a company that’s been more about affordable laptops than cutting-edge AI? Not too bad at all. 

CEO Michael Dell broke the news on his X account (formerly known as Twitter, because Musk likes rebranding things). He announced that Dell is assembling half of the server racks for this supercomputer. Musk chimed in, confirming the collaboration and adding that Super Micro Computer is also on board aka (another big swinger in the AI boom). 

So while Dell has been trying to get a piece of the AI pie, this partnership couldn’t have come at a better time. Their AI-optimized servers saw a 100% sequential increase to $1.7 billion in the first quarter. That’s a lot of server racks. Their backlog of AI server orders also jumped 30% to $3.8 billion. Basically, Dell is like the kid who finally got invited to the cool kids’ table at lunch.

With Nvidia as a partner, Dell is hoping to make a big splash in the AI market. And let’s be real, partnering with Musk is like getting an endorsement from the tech world’s rockstar. If this partnership goes well, Dell’s stock could be one of this year’s breakout stars in the AI sector.

**The Musk Effect**

Going back to Musk, his AI ambitions are no secret. He’s been working on this supercomputer for months, and now he’s got some heavy hitters helping him out. The collaboration with Dell and Nvidia is a big deal, not just for Musk but for the entire tech industry.

But let’s not forget, Musk’s ventures have a way of grabbing headlines for better or worse. If he stays focused on building this AI supercomputer, Dell and Nvidia could see significant growth. On the flip side, if Musk gets distracted by, say, trying to colonize Mars again, who knows what’ll happen?

Source: Yahoo Autos

Dell’s partnership with Nvidia and Musk is more than just a business deal; it’s an attempt to redefine itself in the ever-evolving tech landscape. They’re not just the maker of your college laptop anymore. They’re diving headfirst into AI, and this could be the start of something big.

**The Bottom Line**

In the end, this partnership is a win-win. Musk gets the hardware he needs to power his AI dreams, and Dell gets a golden ticket into the world of AI. It’s a classic case of being in the right place at the right time. So next time you see a Dell commercial, remember: they’re no longer just the company that helped you write your college essays. They’re gearing up to be a major player in the AI revolution, all thanks to a little help from Elon Musk, who would’ve thought? Not me (in Paul Rudd’s voice). 

Stocks.News holds positions in Dell Computers as mentioned in article.