Tech Desk 
Sep 05, 2024
Nvidia, artificial intelligence (AI) leader, suffered a major loss in market value, as it dropped to 9.5% on Tuesday (September 3), which marks the deepest one-day decline in the US market. The recent Nvidia share price has despaired investors from the revolutionising field of AI amid a wide market selloff.
AI is an emerging field possessing a plethora of potential, but after Nvidia's market shares tumbled and lost $279 billion in market capitalisation, has made investors cautious about it.
Read more: Nvidia stock announced — $50 billion stock buyback surpassing Wall Street expectations
Back in 2020, the PHLX Semiconductor Sector (SOX) suffered the deepest one-day decline, which plunged 7.5%. But, the recent Nvidia stock price has tumbled compared to SOX too.
Nvidia is under hot water since it projected a quarterly forecast On August 28, that disappointed investors as it only had $7.5 billion unexpended from its share repurchase plan.
According to Strategas Securities Exchange-Traded Fund (ETF) strategist Todd Sohn, "Such a massive amount of money has gone to tech and semiconductors in the last 12 months that the trade is completely skewed."
