European Stocks Plunge After US Midterm Election Results Shock Markets
Technology shares led the decline as investors feared Democrats could slow AI data-centre spending and tighten regulation, analysts said.
- On Thursday, the pan-European Stoxx 600 index closed 0.38 per cent lower at 654.87 points as investors assessed the sector outlook following a Democratic sweep in the US midterm elections.
- Losses in technology shares dragged the benchmark lower, with stocks falling 3.2 per cent to their lowest level in nearly two months, while defence sector weakness exacerbated the decline.
- Among defence stocks, Rheinmetall plunged 16.1 per cent after slashing its 2026 sales forecast for the second time in three months, pulling the sector down 2.6 per cent overall.
- John Plassard, head of investment strategy at Cite Gestion, said "concerns about AI regulation have not disappeared, but robust investment in data centres appears to offset them for now."
- Ipek Ozkardeskaya, senior analyst at Swissquote Bank, described the shift as "a rotation from technology to non-technology markets," while Air France-KLM rallied 12 per cent after beating third-quarter profit expectations.
51 Articles
51 Articles
The financial markets, in particular the AI-related securities, fell on the stock exchange after the Democratic Party won the US mid-term elections. They were concerned about this victory of the Democrats, whose new elected officials campaigned to slow down the construction of data centres. This is not the case in the United States, for example: Asian and European stock exchanges are still falling on November 6, 2026. Can this go so far as to bl…
The morning after the major crashes on the stock markets, the aftershocks were still being felt on the markets this Friday morning. European stock market indices fell a little further…
Falling prices on the stock exchanges after the US elections – what this means for German investors and ETF savers.
As the Democratic Party achieved a landslide victory in the U.S. midterm elections, concerns were raised about halting the construction of AI infrastructure, causing 4,732 trillion won in global stock market capitalization to evaporate in a single day. The sell-off centered on technology stocks spread globally, with the Nasdaq and Philadelphia Semiconductor Index plummeting and the Japanese and Taiwanese stock markets taking a major hit.
European stocks plunge after US midterm election results shock markets
European shares tumbled on Friday as global investors grappled with uncertainty over AI stocks, following the Democrats’ sweeping victory in the US midterm elections. The drop is partly due to fears that Democrats could curb the development of AI data centres, which are widely unpopular among US voters. Follow our liveblog for all the latest updates.
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