Key Takeaways Tesla shares slid Thursday, extending Wednesday's decline.The losses come as reports this week showed sales continued to decline in May across several European countries, and CEO Elon Musk criticized President Trump’s signature budget legislation.

Tesla shares plunged Thursday as the relationship between Elon Musk and President Trump imploded and Trump suggested canceling Musk's government contracts. Why it matters: The threat escalates their real-time breakup and threatens to deliver a serious blow to the wealth of the world's richest person.

President Trump said on Thursday that Elon Musk was upset about the repeal of an electric vehicle tax credit — a claim Mr. Musk swiftly rejected.