Nvidia takes major hit: Loses $279 billion in market value as shares drop 9.5 per cent

The shares of Nvidia fell 9.5% on Tuesday, marking the deepest single-day dip in market value for a US firm. The AI firm lost $279 billion in market capitalisation. The decline in shares reflects a broader market selloff, as investors tempered their enthusiasm for artificial intelligence in response to lukewarm economic data.

This is a strong signal that investors are growing more cautious about the emerging AI technology that has driven much of this year’s stock market gains.