On February 27 (local time), NVIDIA, a company that holds the title of the world's highest-valued entity by market capitalization, witnessed a second consecutive day of stock price decline following the release of its earnings report. This development set off a wave of selling in the U.S. financial sector, leading to a downturn in all three major U.S. stock indices. The S&P 500 closed 0.43% lower, the Nasdaq Composite Index saw a 0.92% drop, and the Dow Jones Industrial Average declined by 1.05%. In February, both the Nasdaq Composite Index and the S&P 500 experienced their most significant monthly declines since March 2025, while the Dow Jones Industrial Average managed a marginal gain of 0.17%. Despite the announcement by OpenAI that it had secured $110 billion in funding, with NVIDIA and SoftBank each contributing $30 billion, this news was not enough to prop up NVIDIA's stock price. Instead, it tumbled by 4.16%, resulting in a loss of $187.1 billion in market value. Moreover, U.S. financial stocks took a collective nosedive on Friday, as the collapse of UK mortgage lender MFS triggered widespread market panic. This panic was fueled by concerns that 'AI stealing jobs' could extend its impact to financial stability. The U.S. KBW Bank Index suffered its most substantial single-day decline since April of the previous year, and Goldman Sachs' stock price plummeted by more than 7%.
