Nvidia and Tesla stocks fell 6%, losing $254 billion

Nvidia and Tesla stocks fell over 6% on Wednesday, resulting in a loss of approximately $254 billion in market value. This decline contributed to a drop in major indices, with the S&P 500 losing more than 1% and the Nasdaq falling over 2%. CEOs Jensen Huang of Nvidia and Elon Musk of Tesla lost a combined total of over $15 billion. Musk's net worth dropped to $348 billion, while Huang's fell to $99 billion, impacting their positions on Forbes' billionaire rankings. The downturn is linked to market reactions to potential new tariffs announced by President Trump, which could affect both companies. China, a significant market for both, makes up over 10% of their revenues, increasing concerns about possible retaliatory trade actions. In addition, rival companies like Ford, General Motors, and chip firms like Advanced Micro Devices saw their stocks decline as well, reflecting broader challenges in the tech and automotive sectors amidst ongoing economic uncertainties.