The artificial-intelligence trade that carried global markets for the past two years is going through a violent repricing, and the wreckage is showing up on several continents at once.
The sharpest single data point comes from Nvidia. According to Livemint, the chipmaker's shares plunged nearly 10% on a Tuesday session, wiping out about $279 billion in market value — described as the biggest ever single-day loss for a US company — as investor optimism about AI appeared to wobble.
The damage has not been confined to Wall Street. The New York Times reported another wild day for South Korean stocks, with the market surging 18%, part of what Business Insider Africa called one of the wildest months in the country's stock market history. Techzine Global reported that South Korean AI stocks rebounded after a sharp correction — a reminder that the swings are running hard in both directions.
Capital appears to be rotating rather than simply vanishing. Reuters reported that out-of-favour Indian stocks are getting a boost as the crowded AI trade reverses, with money moving toward names that had been left behind during the boom.
Not everyone is selling. MSN reported that Cathie Wood's Ark Invest bought nearly 79,000 Nvidia shares worth roughly $15.5 million after the selloff, reaffirming its conviction despite the decline and mixed signals. Moomoo, meanwhile, framed the moment bluntly, saying a "2,000% myth" has collapsed and that dumped AI shares have ended up at Citadel — while asking whether the market has bottomed.
Other pressures are compounding the mood: the Scranton Times-Tribune and The Press Democrat both reported oil prices jumping after fighting with Iran, with sinking AI stocks dragging Wall Street lower.
It matters because AI-linked shares have become the load-bearing wall of many retirement portfolios and index funds, so a repricing there is felt far beyond Silicon Valley.