Silicon Valley return on Trump bet: Plunging valuations, delayed IPOs

Silicon Valley executives and financiers have released their wallets to support President Donald Trump’s 2024 presidential election. There aren’t many early returns in 2025 to say the least.

After Trump’s sweeping tariff plans were announced Wednesday, NASDAQ experienced a sudden daily drop in daily life to close 10% lower in the week, the index’s worst performance since the launch of Covid Pandemic in 2020.

The tech industry’s leading CEO hastily paraded to Washington, DC for the event, rushing to contribute to Trump’s inauguration in January. It’s been slow ever since.

The market can always turn around, but economists and investors are not optimistic, and concerns are building a potential recession. The seven most valuable tech companies lost a total of $1.8 trillion in market capitalization in two days.

apple It slid 14% a week, the biggest drop in over five years. Teslaled by top Trump adviser Elon Musk, the 9.2% fell sharply, and now it’s down more than 40% a year. Musk contributed nearly $300 million to help Trump return to the White House.

nvidia, Meta and Amazon Everyone was struggling with double digit drops that week. For Amazon, the weekly decline of the ninth straight marks its longest winning streak since 2008.

Fallout has fallen into the IPO market as Wall Street sells out dangerous assets over concerns that widespread tariff hikes will punish the US and the global economy. Online lender Klarna and ticket market StubHub reportedly delayed the IPO due to market turbulence a few weeks after filing with the Securities and Exchange Commission, and fintech company Chime is also delaying its listings.

coreweaveThe artificial intelligence infrastructure provider last week became the first venture supporter to raise more than $1 billion in US IPOs since 2021. Stocks plummeted 12% on Friday, 17% above the offer price, but below the bottom of the initial range.

“You couldn’t expose worse markets and macro environments,” he said. Equityzena platform for investing in private companies. “Too much turbulence. All flights will be grounded until further notice.”

Suro Capital’s CoreWeave investor Mark Klein previously told CNBC that the company could be the first in the “IPO parade.” Now he’s backtracking.

“It appears the IPO parade has been temporarily suspended,” Klein told CNBC in an email Friday. “The current tariff situation has led these companies to suspend and assess their impact.”

Prominent venture capitalists like Mark Andreesen in last year’s presidential election Trump supported Trump in hopes that his administration would be booming and eliminate some of the startup growth hurdles set by the Biden administration. Andreessen and his partner Ben Horowitz said in July that the Trump campaign’s financial support came from what they called better “Little Technology Agenda.”

A spokesman for Andreessen Horowitz declined to comment.

Some technicians who supported Trump in the campaign are bringing it to social media to protect their position.

venture capitalist Keith Rabois, managing director of Khosla Ventures; Posted on x “Trump Mad Syndrome has been transformed into tariff disruption syndrome,” he said Thursday. he I said Tariffs are effective in reducing fentanyl imports rather than inflation, and he expects “most other countries will quickly open caves and caves.”

It said on Friday that China’s Treasury will impose a 34% tariff on all goods imported from the US from April 10th.

Shaun Maguire, an outspoken Trump supporter at Sequoia Capital, Klarna’s biggest investor, I wrote it on x“The first long-term thinking president of my life.” Separate posts It says, “The price of stocks says little about the long-term health of the economy.”

But Allianz’s chief economic advisor Mohamed El Elian warned on Friday that Trump’s massive import duties puts the US economy at risk of a recession.

“You’ve re-risked your growth outlook so you can see that there’s up to 50% chance of a recession in the US and that inflation expectations are up to 3.5%,” he told CNBC’s Sylvia Amaro on a bystander at the Ambrossetti Forum in Cernobubio, Italy.

Meanwhile, executives at Tech’s Megacap company have been very silent this week, with their spokesperson denying comment on their thoughts.

Microsoft CEO Satya Nadella was in a troubling position Friday, celebrating her 50th anniversary at her corporate headquarters in Redmond, Washington. Alongside two former Microsoft CEOs Bill Gates and Steve Ballmer, Nadella sat down with CNBC’s Andrew Ross Sorkin for a televised interview planned well before Trump’s tariff announcement.

When asked about tariffs at the top of the interview, Nadella effectively dodged the question and declined to express his opinion on whether the new policy would hinder Microsoft’s business.

Ballmer, who was handed over to Nadella in 2014, admitted to Sorkin that “confusion is very difficult for people” and that “as a Microsoft shareholder, this kind of thing is not good.” Balmer and Gates are two of the 12 richest people in the world thanks to Microsoft’s fate.

C-sweets may not be able to stay quiet for a long time, especially if the recent turmoil leaks next week.

Lise Buyer, who used to help guide Google Through the IPO, he said that he currently works as an advisor to a publicly available company and that there is no need for risk in the market under these conditions. However, there is a risk that staff will be uneasy and they will certainly look to their leaders with some peace of mind.

“Until the market has settled and there is an opportunity to access valuation levels, CEOs of public companies should work to calm potentially struggling employees,” the buyer said in an email. “And private company management needs to improve their plans to acquire in dollars already at the Treasury.”

– Hayden Field, Jordan Novet, Leslie Picker, Annie Palmer and Samantha Subin from CNBC contributed to this report.

clock: Chimes reportedly delay IPO