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Global Financial News: Nvidia's market capitalization has shrunk drastically and lost its position as the world's largest stock

[Global Network Finance Roundup Report] On Friday, according to a Bloomberg News report, semiconductor giant Nvidia experienced sharp price fluctuations. The market value shrunk by more than 220 billion US dollars in just two days, and lost its position as the world's highest stock by market capitalization.


Earlier this week, Nvidia's stock price rose rapidly, surpassing large companies such as Apple and Microsoft to become the company with the highest market capitalization in the world. However, this upward trend did not continue, and the two-day sell-off over the weekend caused Nvidia's stock price to drop sharply by 6.7%. As of Friday, Nvidia's market capitalization had fallen to around $3.1 trillion, down from Apple's $3.2 trillion and Microsoft's $3.3 trillion.

Although some analysts say that this sharp decline in market capitalization is only a normal fluctuation in the stock market, it does not reflect Nvidia's fundamental problems. However, it is undeniable that this sharp drop in stock prices has had a significant impact on Nvidia's market position.

Some market analysts believe that this sharp drop in Nvidia's stock price is closely related to its previous sharp rise. Over the past year, Nvidia's stock price has risen by nearly 200%. This astonishing increase makes its stock price vulnerable to profit rebounds. Furthermore, as the S&P Dow Jones Index adjusts the company's weight and ETFs that track its index make similar adjustments, the market may experience turbulence, which affects individual stock performance.
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