Chaos on global stock exchanges. All because of news from China
Nvidia loses a record $ 470 billion, and chaos in the markets is reflected all over the world, even touching Argentina and her banks.
On Monday, Nvidia, one of the largest technological players, recorded a spectacular decrease by 17 %, which translated into a reduction in market value by $ 470 billion. Such a dramatic decrease in capitalization in history has not yet been seen. For comparison, previous records belonged to the finish (Facebook) and Amazon, which lost 251 billion and $ 206 billion in one day, respectively.
The reason for the sale was news about the breakthrough achievements of the Chinese company Deepseek in the field of artificial intelligence. The technology that allowed the development of AI using less advanced processors hit companies that were based on the increase in prices of the most modern chips.
Chaos on stock exchanges – domino effect
NVIDIA’s quotations resulted in other technology and energy companies that expected an increase in energy demand in connection with the development of artificial intelligence. American stock indexes, such as NASDAQ 100, fell by 3 percent, and S&P 500 by 1.5 percent.
Similar trends were recorded on Asian and European stock exchanges. Japanese Nikkei 225 lost 0.9 percent On Monday and another 1.4 percent On Tuesday. In Europe, the decreases affected Euro Stoxx 50 (-0.6 percent) and Dutch AEX (-7 percent on Monday, with a slight correction on Tuesday).
Argentine Stock Exchange under pressure
Surprisingly, the confusion in the markets affected Argentina the most. The main index of the stock exchange in Buenos Aires, Merval, fell by 5 percent. in peso and by 6 percent in dollar. Banks such as Banco Macro (-7.2 percent) and BBVA (-6.6 percent), as well as the bonds of the Argentina government, which lost value from 1 to 2 percentage points, were particularly suffered.
Despite Tuesday’s increases in pre -session, in which Nvidia gained 5 percent, the situation in the markets remains tense. Experts indicate that changes on the American market can have long -term effects on investors from around the world, including emerging markets such as Argentina.
