SpaceX shares fell 16.4% on June 22, erasing $400 billion in market cap in the second-largest single-day corporate loss ever recorded after its Nasdaq IPO.

SpaceX stock has fallen back toward $185 from a $225 peak, as a thin float, new short-selling tools, and a $60bn Cursor deal cool the euphoria.

A rally following the company's record breaking IPO on June 12 has cooled, with stock dropping the past two full days of trading.

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SpaceX shares have seen a significant drop, losing hundreds of billions in value over three days. This decline follows the company's announcement of its first investment-grade…