Nasdaq plunges into correction territory as midterm results raise fresh questions about AI boom
AI-linked stocks dragged the index lower as investors worried Democrats could slow data center construction and curb returns on heavy spending.
- On Thursday, November 5, 2026, the Nasdaq Composite fell into official correction territory, dropping more than 10% below its October 6 record high as a sharp selloff in AI-related stocks erased Wednesday's post-election rally.
- Midterm election victories for Democrats sparked investor fears of tighter artificial intelligence regulation and potential data center construction pauses. Democrats won both chambers of Congress, raising concerns about regulatory scrutiny of the AI industry.
- Semiconductor shares plummeted Thursday, with Advanced Micro Devices tumbling 14.6% and Nvidia falling 8.3%. The sector-wide decline erased an estimated $2 trillion in market value, reflecting investor anxiety over data center profitability.
- State-Level races in Texas, Georgia, and Ohio created immediate uncertainty, as newly elected officials campaigned on pausing data center approvals. UBS analysts estimate 30% of expected 2028 capacity additions are at risk from potential construction delays.
- Investors await the October jobs report on Friday, November 6, 2026, for signals on market direction. Some observers argue the selloff may overstate near-term regulatory risks, citing persistent long-term demand for AI infrastructure capacity.
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273 Articles
Dow closes down 1,800 points, Nasdaq into correction territory, wiping out gains from midterm results rally
(ABC NEWS) — The Dow Jones Industrial Average closed down more than 1,800 points on Thursday, wiping out all of the rally from a day earlier when midterm election results propelled the index to its best trading session in more than a year. The S&P 500 finished trading down 4.3%, while the tech-heavy Nasdaq fell 5.5%, putting the index into correction territory, meaning it has fallen more than 10% from a previous peak last month. The Dow closed d…
AI storm dooms tech stocks to biggest drop since Trump’s ‘Liberation Day’ rout
Big tech stocks slumped on Thursday in their biggest decline since the “Liberation Day” rout last year, extending what has been a punishing autumn for the AI trade. The Nasdaq 100 index was set for market value declines exceeding US$2 trillion on investor fears that the Democratic Party’s sweeping midterm victory could stall AI infrastructure expansion and force a chaotic reckoning for smaller firms whose capacity to raise funds has already b…
U.S. Stocks Plummet As AI Concerns Resurface, Nasdaq Plunges Into Correction Territory
Following the rally seen in the previous session, stocks showed a substantial move back to the downside during trading on Thursday. The major averages all moved sharply lower, more than offsetting yesterday's gains. The major averages ended the day just off their lows of the session.
dagelijksestandaard.nl
welingelichtekringen.nlNEW YORK (ANP) - Tech stocks plummeted on New York stock exchanges on Thursday, causing Wall Street to experience its worst trading day since April last year. Investors fear that the Democratic victory in the midterm elections could have major consequences for the rise of artificial intelligence...
Reforma
elnorte.comThe Nasdaq collapsed by 5.52%; while the S&P 500 fell by 4.36%, its worst day since April 2025; and the Dow Jones lost by 3.44%.
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