Former President Donald Trump’s media company is proving a hit with day traders.
Shares of Digital World Acquisition Corp. skyrocketed as much as 1,225% since an announcement that the blank-check company will merge with Trump Media & Technology Group. The stock was up 99% at 11:37 a.m. in New York Friday after volatility triggered at least 12 trading halts during the session.
Trump’s fans on social media have pumped the stock on Reddit and StockTwits, fueling heavy trading. On Thursday, the special-purpose acquisition company was the top purchase on Fidelity’s platform with about 55,000 buy orders from customers. That demand carried on Friday with more than 50,000 buy orders being registered on Fidelity’s platform, nearly double the buying seen in the second-most actively traded stock Phunware Inc., a newly crowned Meme stock.
The former president’s new enterprise will be in operation by the first quarter of 2022, according to a news release. It plans to start a social media company called Truth Social. The moves, if all goes according to plan, would occur well ahead of the 2022 midterm elections.
The stock was among the most actively traded companies with a market value above $500 million, with about 67 million shares changing hands Friday.
This article was provided by Bloomberg News.