Several of the top four billionaire-held companies, including cloud computing companies, e-commerce companies, and household tech names got hammered on Thursday, wiping out hundreds of billions of dollars in market value and causing the Nasdaq composite to plunge to its lowest point since June 2020. A loss of $35.75 billion was recorded by the top 4 richest.
In the wake of the Federal Reserve’s half-point rate hike to curb inflation, investors sold out of the growth-oriented part of the market due to concerns that the economy is in for some rough times.
Amazon dropped almost 8% and Meta Platforms, the owner of Facebook, fell about 7% as big tech stocks crashed. Additionally, Apple shares tumbled nearly 6%, Alphabet shares fell about 5%, and Microsoft shares dropped 4%. Nasdaq shares fell 5% overall.
As Elon Musk’s wealth decreased by $18.5 billion, it was the highest loss on the day for the world’s richest person. Elon Musk now has a net worth of $249 billion.
Amazon founder and CEO Jeff Bezos is currently valued at $140 billion, printing a $9.73 billion loss in wealth for the day.
French fashion icon and Europe’s top entrepreneur, Bernard Arnault, is third on the list with a fortune estimated to be around $127 billion, though it has decreased by $4.84 billion for the day. It’s the only billionaire not from the tech sector in the top 4.
A large portion of his wealth comes from his controlling stake in LVMH, which he controls through his holding company Christian Dior.
Fourth place goes to Bill Gates, the founder of Microsoft, the world’s most valuable software company.
Gates was the richest man in the world for many years. Recent data showed that his wealth valuation dropped by $2.68 billion for the day, bringing his wealth to $125 billion.