Shares of networking sites fluctuate after skirmishes between Twitter and Trump

In a precedent, the first of its kind, Twitter included two of President Trump's tweets in the field of misleading news,
which led to the escalation of the crisis between US President Donald Trump and Twitter,
sparking widespread controversy because the relationship between Trump and Twitter in particular is of a special nature; Both benefited the other and benefited from it. How did Trump's decisions affect social media platforms?

How Trump saved Twitter in 2017

In 2017, social media companies, especially Twitter, suffered from a decline in profits,
due to the rise of Snapchat and Instagram, which made the talk open about offering the Twitter platform for sale.

But Trump's strong entry into the world of Twitter as an American president, changed everything for the owners of Twitter.
The presence of a president announcing important decisions on one platform only made the American media re-interest in the platform,
and the American citizen returned to interact more on that platform and take his news from it.

At the time, The Guardian published a report entitled “Can US President Donald Trump save Twitter?”,
in which it discussed the positive impact of the US president on the micro-blogging platform.

"Trump's presence on Twitter is a dream for their marketing team,
every day the name of Twitter is mentioned in the media because of the quotes of the US president's tweets," the report said.

Indeed, Twitter recovered in 2018 in terms of income, achieving a growth of 24.52% compared to what was the case in 2017,
and continued to grow in 2019 by 13.71%, stopping a two-year series of decline between 2016 and 2017,
thanks to which many return it to a stronger presence A world leader on the platform, who not only tweeted, but also made many events in the network.


“ Twitter has become the most talked about social network platform in the media because of the American president. This media support convinced a number of investors to buy shares and invest in Twitter despite other technical concerns surrounding the site,” the American “Investor Place” website, which specializes in financial markets, says about Trump’s influence . .
Twitter is the one who started the clash

Last Tuesday, the social networking site Twitter accused Trump for the first time of providing "false" information,
and said two of his tweets were "baseless",
after the SMS site for a long time resisted calls to censor the US president over offensive messages. for the truth.

Trump's tough reaction

In response to Twitter, US President Donald Trump said he would introduce legislation that could repeal or weaken a law that has long protected Internet companies, including Twitter and Facebook.

Trump said we might "remove or change" a law known as Section 230 through legislation so that social media companies do not have this legal immunity, which protects these platforms from liability for content posted by users.

Trump said in a tweet that Republicans feel that “social media platforms are completely silencing conservative voices. We will regulate it or shut it down, before we allow that to happen.”

"We saw what they tried and failed in 2016. We can't allow a more complex version of that to happen again," the US president added.


The US president responded by accusing Twitter of "interfering in the 2020 presidential election.

Twitter and Facebook shares fall - the first results

Here the real battle began, between social media platforms and the US government, which will pursue social networking sites through its executive bodies,
which caused losses, the first of which was the decline in Twitter shares in the trading markets by about 4.5% within a few minutes before closing,
and the next day it was recorded The share price at the close is about $31.66, down by 4.45%, which is the second day in a row that the share declined.

Facebook shares also fell after Trump's decision, by 3.9% to $ 223.7.

Twitter and Facebook shares are rising again

After two trading sessions in which Twitter's share price fell, it rebounded strongly by 1.3% during the trading session last Thursday, reaching the share price until yesterday at $32.22 per share,
and Facebook's share price quickly rose in the same trading session by more than 0.5%, It continued to rise until yesterday's session ignoring even the demonstrations in the USA.



Where the Facebook stock opened yesterday's trading session at 224.59 levels, from which the stock touched 232.44 levels, and the stock recorded a daily closing at 231.90 levels, achieving daily profits of 3.03%.

Impact of Trump's decision to shut down social media on financial markets

The impact will be profound and cause huge losses, due to the dependence of the masses around the world on social media companies, whether in work or entertainment, and they were the main reason for the rise in the indicators of the American markets, which are being tracked by global markets, whether European, Arab or even East Asian, and therefore its impact will be extended. Rather, it will outweigh the negative effects of Corona.

Despite the presence of Corona, the shares of social networking sites were making gains that prevented the collapse of the American markets,
and when they stopped, it would be an unfortunate thing with which no economic stimulus would succeed in pumping billions of liquidity as in the American markets.