Markets Collapse: Losses of Only 10 Most Valuable Companies Exceed $600 Billion! (Okay, but why?)
May 7, 2022
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As the fallout from the war between Russia and Ukraine continues to hit the globe, the United States and European countries have broken their own inflation records in
As the fallout from the war between Russia and Ukraine continues to hit the globe, the United States and European countries have broken their own inflation records in the past two months. Although the decision to raise interest rates was made to avoid inflation, this is news follows a general downward curve causes.
In the past 24 hours, there have been major falls in value of nearly all 500 largest US-based companies. S&P 500 index, down 3.56% on the day. When the company closed, the stock value of many giants such as Apple, Amazon, Google, Microsoft and Tesla fell by almost 5% or more. The table of the 500 largest companies in the US was as follows:
The World’s Most Valuable Companies Are Losing Value
The Last 24-Hour Drop of the 10 Most Valuable Companies in the S&P 500 (by Index Weight)
Apple: 5.57%
Microsoft: 4.36%
Amazon: 7.56%
Tesla: 8.33%
Google (alphabet): 4.75%
NVIDIA: 7.33%
Berkshire Hathaway: 2.48%
Meta (Facebook): 6.77%
UnitedHealth Group included: 2.54%
Johnson & Johnson: 1.91%
The total loss suffered by these companies, which we have only listed, in 24 hours: 620 billion dollars
The last 4-week table showed the worsening of the situation.
The decline experienced by the same companies in the past 1 month
Apple: 10.45%
Microsoft: 10.79%
Amazon: 29.04%
Tesla: 19.98%
Google: 17.24%
NVIDIA: 27.33%
Berkshire Hathaway: 7.58%
Meta (Facebook): 10.16%
UnitedHealth Group included: 4.45%
Johnson & Johnson: 0.48%
Businesses around the world, not just the US, are bleeding:
So why are the markets falling?
The dream of the past 24 hours is that the US Federal Reserve (FED) with the decision to raise interest rates by 50 basis points. causes. Since this decision was an expected decision, although the sale came before the announcement, sales increased with the announcement. The US Federal Reserve’s decision to raise interest rates was the largest decision to raise interest rates in more than 20 years.
One of the main reasons why the FED’s decision led to sales in the markets, a risk-free investment It was the rise in the yield on the “US 10-Year Bond”. Bond yield of 0.5% in August 2020, increased to 3% today. As these returns increased, giant investors looking to earn risk-free income began to exit the markets.
I’m Sandra Torres, a passionate journalist and content creator. My specialty lies in covering the latest gadgets, trends and tech news for Div Bracket. With over 5 years of experience as a professional writer, I have built up an impressive portfolio of published works that showcase my expertise in this field.