NVIDIA’s market value evaporated by 1.4 trillion yuan overnight, an event that attracted widespread attention after the close of U.S. stock trading on November 4, 2025. As a leading company in the AI chip sector, its stock price fell by nearly 4%, leading to a loss in market value of approximately $200 billion, equivalent to about 1.4 trillion yuan. This fluctuation is closely related to the collective pullback of the three major U.S. stock indices, with large-cap tech stocks generally under pressure, including a drop of over 6% for semiconductor giants. NVIDIA’s overnight loss of 1.4 trillion yuan not only reflects the market’s sensitivity to the tech sector but also highlights global economic uncertainties, such as virtual currency market liquidations and a decline in gold prices.

Background of NVIDIA’s Market Value Evaporation

The tech stock market has experienced frequent fluctuations in recent years. With the explosion of AI applications, chip companies have become investment hotspots. On November 4, 2025, the U.S. stock market saw a broad decline, with the Nasdaq Index falling by nearly 500 points. Against this backdrop, NVIDIA, a giant whose market value once exceeded $4 trillion, suffered a significant setback. The decline in its stock price from its peak was mainly driven by overall market sentiment, including adjustments to expectations regarding the Federal Reserve’s monetary policy. Data shows that the global semiconductor industry’s market value has grown significantly over the past year but also faces supply chain pressures and geopolitical risks. This evaporation event is not isolated but part of a broader adjustment in the tech sector. As digital transformation accelerates, corporate demand for high-performance computing continues to rise, but market overheating also brings risks of a pullback.

Market Reactions to NVIDIA’s Market Value Evaporation

After the news broke, discussions about NVIDIA’s future stock price trend heated up on social media platforms, with some comparing this evaporation to a signal of a tech bubble. Financial institutions released reports emphasizing that short-term volatility does not change the long-term growth prospects. Data shows that the tech sector now accounts for over 40% of the U.S. stock market’s total market value, and its turbulence affects global capital flows. At the same time, Chinese concept stocks were also impacted, showing significant declines. Industry observers noted that this event serves as a reminder for investors to diversify risks and avoid over-concentration in a single sector. The correlation between virtual currencies and tech stocks has strengthened, with liquidation events amplifying panic sentiment. The market is curious about how AI will continue to drive economic growth after NVIDIA’s market value evaporated by 1.4 trillion yuan overnight. In the wave of automation, chip technology remains core, but overheating investments need to be approached with caution.