Rumble Stock Soars 21%: How the Trump Assassination Attempt is Moving Markets

• Rumble’s stock unexpectedly jumped by a fifth early this week
• However, this may not be representative of the firm’s financial health
• It’s possible that recent political events have driven the sudden uptick

The attempted assassination of former president Trump may have artificially inflated the value of Rumble (NASDAQ:). Rumble stock leaped 20.71% higher to $7.17 earlier this week.

However, with less-than-ideal financials, the video-sharing platform’s recent rally probably doesn’t represent its potential.

Rumble, the platform said to be “immune to cancel culture,” is an alternative to the much more popular YouTube. The site’s championing of free speech principles has led it to become a hub for conservative commentary, with controversial figures such as Andrew Tate, Rudi Giuliani, and Alex Jones all prominent users.

Why Did Rumble Stock Soar?

It’s not unheard of for stocks representing small-to-medium-sized businesses to make outsized moves. However, heads certainly turned when Rumble stock increased its value by over a fifth on Monday, ending the trading session at $7.17.

That morning, the company had announced partnerships with three “exclusive Rumble-branded products”: pet product platform Pawsitive, male health brand Be Naked, and electromagnetic field wellness company 5G Free.

While the nature of the partnerships was unclear, Rumble CEO Chris Pavlovski stated they would “not only add revenue to our bottom line but also advance our mission of a free and open internet”.

However, the likely catalyst for the 21% single-day rally didn’t directly concern Rumble. Rather, it pertained to a competing alternative, First Amendment-focused social-media platform, Truth Social.

The company that owns Truth Social is Trump Media & Technology Group (NASDAQ:), led by former U.S. president and current presidential candidate Donald Trump.

Crucially, DJT stock rallied more than 31% on Monday following the attempted assassination of former president Trump during a Republican rally in Pennsylvania on the weekend.

It is highly probable that Rumble stock raced higher on Monday, not because of the company’s announcement of three partnerships but because of the sympathy effect.

In other words, DJT stock shot higher and short-term traders decided that RUM stock ought to move higher as well, since Rumble occupies a similar market and demographic as Truth Social.