Investors lose trillions as global equities, commodities markets tumble

Global financial markets tumbled sharply on Wednesday, with steep losses across precious metals and major U.S. stock indexes wiping out trillions of dollars in market value in a matter of hours, according to data from major exchanges.

Gold prices plunged more than 8%, erasing nearly $3 trillion from the metal’s global market capitalization, as investors rushed to cut exposure amid heightened volatility. Silver fell even more sharply, sliding more than 12% and wiping out an estimated $760 billion in value.

Equity markets also came under heavy pressure.

The benchmark S&P 500 dropped about 1.2%, translating into roughly $780 billion in lost market capitalization. Technology shares led declines, with the Nasdaq Composite sinking more than 2.5% and erasing about $760 billion in value.

The sell-off unfolded rapidly, with trillions of dollars in metals and equities wiped out within a single hour of trading, underscoring fragile investor sentiment and rising risk aversion.

On Wall Street, U.S. stocks were lower in the early stages of trading, dragged lower by a drop of more than 11% in Microsoft shares, putting the company on track for its biggest daily percentage drop since March 2020 with investors unnerved by record spending on artificial intelligence last quarter.

Market participants cited broad-based liquidation and heightened uncertainty as drivers of the sudden downturn, though analysts said further clarity would be needed to determine whether the move reflects a short-term shock or the start of a deeper correction.

Trading remained volatile late in the session as investors reassessed positions across asset classes.