The world’s richest man has taken a huge hit to his net worth amid global economic jitters that have seen him lose a prestigious title.
Elon Musk still retains his status as the world’s richest man, but he has taken a massive net worth hit this week amid a chaotic global economic situation that has sent SpaceX on a downward spin.
In June, his space exploration and AI behemoth launched on Wall Street.
Its highly anticipated initial public offering (IPO) saw a huge surge in the company’s public valuation and pushed Mr Musk’s net worth past the 13-figure mark, peaking around $1.4 trillion.
That made him the first trillionaire in history.
However, SpaceX’s share price has fallen by more than 38 per cent from its peak of $225 a share on June 16.
After a volatile couple of days on Wall Street, sparked by the renewed conflict in the Middle East, its share price now sits at just over $139 a share.
That means it has slumped to near its initial public offering price, erasing most of the gains from its blockbuster Nasdaq debut as investors think twice about the stock’s lofty valuation.
Real-time tracking from Forbes now places his net worth at $839.3 billion, showing he has lost his trillionaire status for now at least.
Before you get your violin out for Mr Musk, it’s worth considering he is still by far the world’s wealthiest man, sitting hundreds of billions of dollars ahead of the next closest person on the global rich list.
Tesla, SpaceX and X CEO Elon Musk.
Picture: CHIP SOMODEVILLA / GETTY IMAGES NORTH AMERICA / AFP
He is streets ahead of Google cofounders Larry Page ($290.1 billion) and Sergey Brin ($267.6 billion), who are the next richest people on the planet.
World economy reeling
SpaceX suffered through another bloody day on Wall Street overnight as world oil prices surged over a fresh flare-up between the United States and Iran.
The renewed conflict rattled investors around the world, while a sell-off in chipmakers sent South Korea’s stock market plunging.
Wall Street’s tech-heavy Nasdaq Composite led major US indices lower while European stock markets were little changed.
Oil prices shot up more than nine per cent as President Donald Trump announced the reimposition of a US naval blockade on Iranian ports while threatening the US would charge a 20 per cent rate on all cargo shipped through the Strait of Hormuz, a critical waterway for petroleum shipmenTS.
Iran’s military warned on Monday that it would not allow the United States to “interfere” in the management of the Strait of Hormuz, while Iranian Foreign Minister Abbas Araghchi mocked Mr Trump’s threatened levy.
Three boys play in the shallow waters of the Strait of Hormuz, as a plume of smoke rises from an explosion in the background, off Bandar Abbas, Iran, Monday, July 13, 2026.
(Razieh Poudat/ISNA via AP)
Iran on Monday fired “warning shots” at two ships attempting to pass through the Strait of Hormuz, state television reported, as Tehran and Washington battle for control of the strategic waterway.
Analysts said the renewed sparring would reduce shipping in the key waterway.
“But in addition, the market is trying to assess what President Trump means by charging 20 per cent on all cargo shipped through the strait and how that might impact not only crude oil prices but other commodities and container ships,” said Andy Lipow of Lipow Oil Associates.
“The market is looking and saying, ‘Do we need to pay Iran for protection or are we going to be paying the United States for protection? And how much is that going to be?’”
The heightened uncertainty over the Middle East also weighed on US equities,with the Nasdaq falling about 1.5 per cent.
“A weekend of hostilities between the US and Iran is triggering a risk-off day on Wall Street,” said Jose Torres of Interactive Brokers.
“The renewed attacks are generating growing worries about the feasibility of a longer-term truce in which both nations commit to peace, as significant disagreements regarding control of the Strait, sanctions relief and Tehran’s nuclear program remain sticking points,” he said.
Brutal scenes on Korean stock market
One economy a lot of experts are looking at is South Korea’s, given its global importance in the chip-making and AI sectors, and on Monday it suffered more heavy losses.
They say heavy losses there could have a “ripple effect” for the entire world.
South Korean chip titan SK Hynix plunged more than 15 per cent, extending a recent bout of selling that has seen the market heavyweight lose nearly 40 per cent since hitting a record last month.
The loss came after the firm’s US-listed shares soared almost 13 per cent on their New York debut following a record $26.5 billion share sale.
The world is reacting to news out of the Middle East.
Picture: AP Photo/Richard Drew
Rival Samsung was down more than 10 per cent by Monday’s close.
“The South Korean market is now considered a key barometer of sentiment towards the chip sector, so when it declines it can have ripple effects across the world,” said Kathleen Brooks, research director at trading group XTB.
There were also losses in Tokyo, where tech companies Advantest and Tokyo Electron tumbled.
Shares in US chipmakers were also hit, with Micron, AMD and Marvell all losing more than four per cent.
Investors are gearing up for the latest earnings season, which will be pored over for an idea about the outlook for the AI industry.
This week sees reports from Taiwanese chip giant TSMC and Dutch firm ASML, which produces chipmaking equipment, while US tech firms begin reporting next week.
A number of Wall Street banks are lined up to report earnings this week, including JP Morgan, Bank of America and Goldman Sachs.
The picture here in Australia remains mixed, with the ASX tipped to open slightly in the red.
ASX 200 futures were down 8 points or 0.1 per cent to 8775.
The market opens at 10am Sydney time.
