Key Takeaways
- Tech giants lost $770 billion in market value in worst single-day drop since April
- Nvidia suffered largest individual loss at $229 billion
- Trump’s 100% China tariff announcement triggered market-wide selloff
- Cryptocurrency market saw $19 billion wipeout with Bitcoin dropping 8.4%
Major technology companies experienced their most severe single-day market decline since April last week, with Amazon, Nvidia, and Tesla leading a massive $770 billion wipeout in market capitalization. The selloff followed President Donald Trump’s announcement of potential 100% tariffs on Chinese goods and new export controls on critical software.
Market Impact Across Tech Giants
According to CNBC reports, shares of Amazon, Nvidia, and Tesla each dropped approximately 5% during October 10 trading. The broader market felt the impact significantly, with the Nasdaq falling 3.6% and the S&P 500 declining 2.7% – marking the worst performance for both indexes since April.
Nvidia, which produces graphics processing units essential for training AI models, suffered the largest individual loss with its market capitalization declining by nearly $229 billion on Friday. This came shortly after the company had become the first to reach a $4.5 trillion market cap in late September.
Amazon lost $121 billion in value during the day, completely wiping out the company’s gains for the year. The stock is now down 2% in 2025 as the company competes with Microsoft in cloud GPU services.
Microsoft saw its market cap drop by $85 billion on Friday. The company’s cloud infrastructure partner OpenAI continues to see rising demand despite the market turmoil, recently announcing that ChatGPT now has over 800 million weekly users.
Tesla, which had introduced lower-priced vehicles earlier in the week, saw its market capitalization sink by $71 billion. Other tech giants including Google parent Alphabet and Facebook owner Meta also experienced significant declines of 2% and 4% respectively.
Trump’s Tariff Announcement
Last week, Trump declared via social media that the U.S. would impose 100% tariffs on China and apply export controls “on any and all critical software” effective November 1. In his Truth Social post, the President accused Beijing of aggressive trade tactics through restrictions on rare earth minerals.
Amazon CEO Andy Jassy had previously addressed tariff concerns during a July analyst call, highlighting the potential impact on technology companies.
Cryptocurrency Market Turmoil
The tariff announcement triggered significant turmoil in cryptocurrency markets, with Bitcoin suffering a steep 8.4% drop to $104,782 on Saturday. The overall cryptocurrency market experienced a $19 billion wipeout.
Market data from Coinglass reported unprecedented conditions, with over 1.6 million traders liquidated within 24 hours. This included $7 billion in positions being sold off in under one hour during the peak of the market panic.
