Mark Zuckerberg’s personal fortunes have been dented in a crash that is the biggest one-day drop in US stockmarket history.
Facebook lost $161 billion in market value overnight.
Investors jumped ship in a frenzied blur as the company saw its value dropped by 20% and Zuckerberg, personally bore the brunt with a more than $15 billion hit.
To put the losses into some kind of perspective, Facebook’s loss was $161b, while the GDP of Ukraine is only $146b. The combined GDPs of Uruguay and Croatia only come to $151b. The entire value of McDonald’s is $165b.
Facebook lost more than 7 times the total value of Twitter ($7b).
If Treasurer Scott Morrison had that kind of money, he could pay off a third of Australia’s national debt. Alternatively, he could quadruple Australia’s defence budget.
In Sydney, where the median house price is $1.14m, he could buy 141,228 houses.
World hunger could be put on pause for nearly 4 years if Facebook’s loss fell into the right hands.
Yesterday, Facebook’s stock was trading at $US 217.50. Today it’s trading at $US 176.26.
The tragedy for Facebook seems to be the culmination of data privacy leaks, including its involvement with Cambridge Analytica in claims of US election interference, and more recently, its handling of hate speech.
Facebook experienced another bad trading day back in July 2017, when it lost billions of dollars in seconds.
It recovered within 10 minutes. But this time, with the problems being complicated and trust-related, market analysts are expecting a somewhat slower recovery.
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