Global financial markets experienced significant turbulence on Wednesday, triggered by a sharp decline in Big Tech shares on Wall Street. The ripple effects were felt across Europe and Asia, with major indices initially plunging before partially recovering. Tokyo’s Nikkei 225 index, which had plummeted nearly 5% during the day, managed to pare losses to close 2.5% lower at 50,212.27. Similarly, European markets saw declines, with Germany’s DAX dropping 0.7% and France’s CAC 40 shedding 0.4%. The UK’s FTSE 100 edged 0.1% lower. In the U.S., futures for the S&P 500 slipped 0.1%, while the Dow Jones Industrial Average futures inched 0.1% higher. The tech-driven sell-off was particularly pronounced in Asia, where SoftBank Group’s shares tumbled 10% amid concerns over its artificial intelligence investments. Other tech giants, including Tokyo Electron and Advantest Corp., also saw significant declines. Toyota Motor Corp. reported a 7% drop in profits for the April-September period but raised its annual earnings forecast despite U.S. tariff pressures. South Korea’s Kospi fell 2.9%, driven by losses in Samsung Electronics and SK Hynix. Chinese markets showed mixed performance, with the Shanghai Composite edging 0.2% higher while Hong Kong’s Hang Seng dipped 0.1%. The tech sector’s volatility has been a key driver of market movements this year, with companies like Nvidia and Microsoft exerting outsized influence. Gold prices, often seen as a safe haven, rose 0.8% to $3,990.90 per ounce amid the uncertainty. Analysts described the sell-off as a ‘reality check’ for markets that had been riding a prolonged rally. Wall Street remains focused on corporate earnings, with most S&P 500 companies surpassing expectations. However, the U.S. government shutdown has added to the uncertainty, leaving investors without crucial economic data. Tesla shares fell 5.1% after Norway’s sovereign wealth fund opposed a controversial compensation package for CEO Elon Musk. In commodities, U.S. benchmark crude oil and Brent crude both declined by 14 cents per barrel.