CURRENT AFFAIRS

Detailed explanation-1: -Jeff Bezos’s company Amazon has become the first publicly listed company in the world to lose a trillion dollars in market value as a combination of fear of recession, rising inflation, tightening monetary policies and slowdown in the earnings updates triggered a historic selloff in the stock.

Detailed explanation-2: -Amazon first company to lose $1 trillion in market cap.

Detailed explanation-3: -This week Amazon became first public company ever to lose over $1 trillion in value. It earned this distinction when its market cap dipped to $879 billion on Wednesday, down from its peak of $1.88 trillion in July 2021, according to Bloomberg.

Detailed explanation-4: -But amid the sell-off in the broader tech sector, the company’s stock has declined by more than 50%, and its valuation has dipped to just $900 billion. High inflation and rising interest rates have crushed consumers’ spending power, which has been a drag on Amazon’s biggest revenue driver: its retail business.

Detailed explanation-5: -After recently losing its membership in the exclusive club of companies with a market cap of $1 trillion or more, Amazon has become the world’s first publicly traded company to shed $1 trillion in market value, Bloomberg reports.