On September 3rd Eastern Time, concerns about a US economic recession were reignited due to poor manufacturing data. The US stock market experienced a "black door" in September, with the three major indices plummeting. As of the close, the Dow Jones Industrial Average fell 1.51%, the Nasdaq fell 3.26%, and the S&P 500 index fell 2.12%, all of which were the largest daily declines since August 5th. Among them, Nvidia plummeted 9.53%, evaporating about $280 billion (about 2 trillion yuan) in market value, creating the largest single day market value loss in the history of individual stocks in the US stock market.
Nvidia suffered a loss of nearly 2 trillion yuan overnight, with chip stocks becoming a 'disaster area'
The sharp drop in Nvidia's stock price has attracted widespread market attention. As a leading enterprise in the field of artificial intelligence computing, Nvidia plummeted 9.53%, with its market value evaporating by $278.9 billion overnight, equivalent to approximately RMB 1986.2 billion. Its latest total market value is $2.65 trillion.
Chip stocks have become the "hardest hit areas" of decline, with Intel falling 8.8%, AMD falling 7.82%, and TSMC falling 6.53%. As of the close, the Philadelphia Semiconductor Index (SOX) fell 7.75%. In addition, technology stocks fell across the board. Apple fell 2.72%, Amazon fell 1.26%, Google fell 3.68%, Facebook fell 1.83%, Microsoft fell 1.85%, and Tesla fell 1.64%.
Poor economic data triggers market panic, leading to a "black door" for the US stock market in September
The data released by the Institute for Supply Management (ISM) in the United States shows that the August ISM manufacturing PMI was 47.2, lower than the expected 47.5 and higher than the previous value. Among them, the ISM Manufacturing New Orders Index for the United States in August fell to 44.6, significantly lower than the previous value and the lowest since May 2023. Analysts say that manufacturing activity in the United States shrank for five consecutive months in August, exacerbating investors' concerns about a recession in the US economy.
Analysts say, "It is expected that volatility will increase in the coming weeks, and global stock markets will face challenges. Investors need to closely monitor market dynamics and respond cautiously to market fluctuations
Will history repeat itself? The 'Black September' in the US stock market has attracted investors' attention
In September of this year, the US stock market encountered a "black market" on its first trading day. Analysts told reporters, 'This is not surprising. In the history of the US stock market, the performance of the US stock market in September was relatively weak, known as the' Black September 'or' September Effect '.'. It is reported that since 1950, the average return rate of the S&P 500 index in September was -0.56%, which was one of the worst performing months in the 12 months of the year. Since 1928, the Dow Jones Industrial Average has had an average return of -0.96% in September, which has also performed poorly.
In the history of the US stock market, there have often been some "black swans" in September, such as the global market turmoil triggered by the Russian debt crisis in September 1998. In September 2008, Lehman Brothers went bankrupt and the financial crisis erupted. In September 2011, the US sovereign credit rating was downgraded.
Some analysts suggest that the poor performance of the US stock market in September may be related to seasonal factors. After the end of summer, investors may reduce their investment in risky assets and shift towards more conservative investment strategies. In addition, September is usually the end of the US stock earnings season, and investors may reassess the performance of companies, leading to fluctuations in stock prices. However, this does not mean that the US stock market will decline every September. Investors should pay attention to market dynamics and economic data, and develop reasonable investment strategies to cope with market uncertainty