Trump's new social media company shares spike again

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Trump's new social media company shares spike again

Shares of the blank check firm that plans to publicly list former U.S. President Donald Trump's new social media company soared again on Friday as small investors talked up the stock on message boards.

Digital World Acquisition Corp's shares surged about 60 per cent to US $71.35, with more than 3.8 million shares changing hands by 6: 30 a.m. ET, compared with its moving average volume of 145,766 shares in 10 days.

The stock soared nearly five times in value in the previous session on the news that Digital World would merge with Trump's media company to create a social media app called TRUTH Social.

Data from brokerage Fidelity showed Digital World was the most traded stock on its platform on Thursday, with buy orders outnumbering sell 1.4 - to - 1.

Stocktwits was the most discussed stock on trading-focused social media site Digital World, a platform commonly seen as a measure of interest from retail investors. Message volumes on Stocktwits related to the SPAC were up more than 9,000 per cent.

No matter your politics this stock will rip I'll start my pick up at a meager 100 shares and then add to my position on dips, a Reddit user wrote.

Hedge funds that invested in Digital World are set to make five times their investment, regulatory filings showed, while Patrick Orlando, who backed the SPAC is likely to see a US $420 million windfall from the surge in shares.