Stock Market Today: Nasdaq, S&P 500 Suffer Biggest Losses on Record, $2.9 Trillion
Wall Street suffered historic losses as the Nasdaq plunged 5 percent and entered correction territory. The S&P 500 fell 4.4 percent, erasing post-election rally gains during a chip stock wipeout. S&P 500 companies lost a record $2.9 trillion in market value in a single day. Nasdaq companies shed $2.5 trillion, while total Wall Street losses reached $3.2 trillion. The sudden market downturn followed the Democratic midterm sweep, which triggered investor panic over artificial intelligence data centers and potential regulatory crackdowns.
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- ✓ S&P 500 companies lost a record $2.9 trillion in market value on Thursday.
- ✓ The Nasdaq plunged 5 percent and entered correction territory amid a chip stock wipeout.
- ✓ Nasdaq companies lost $2.5 trillion in market value.
- ✓ The S&P 500 fell 4.4 percent following the Democratic midterm sweep.
What changed
A Democratic midterm sweep triggered a brutal artificial intelligence rout and record single-day market cap losses on Wall Street.
Live updates
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Nasdaq and S&P 500 Suffer Record Losses Amid AI Sell-Off
Wall Street suffered historic losses as the Nasdaq plunged 5 percent and entered correction territory. The S&P 500 fell 4.4 percent, erasing post-election rally gains during a chip stock wipeout. S&P 500 companies lost a record $2.9 trillion in market value in a single day. Nasdaq companies shed $2.5 trillion, while total Wall Street losses reached $3.2 trillion. The sudden market downturn followed the Democratic midterm sweep, which triggered investor panic over artificial intelligence data centers and potential regulatory crackdowns.
Why it matters
The sharp market drop reflects growing investor anxiety regarding the future of artificial intelligence infrastructure and energy demands. Democratic midterm victories raised fears that the new political alignment will introduce stricter oversight and regulatory hurdles for AI data centers. This regulatory uncertainty abruptly halted the post-election market rally, leading to the worst chip sell-off since 2020 and dragging European shares lower.
What is confirmed
- S&P 500 companies lost a record $2.9 trillion in market value on Thursday.
- The Nasdaq plunged 5 percent and entered correction territory amid a chip stock wipeout.
- Nasdaq companies lost $2.5 trillion in market value.
- The S&P 500 fell 4.4 percent following the Democratic midterm sweep.
Still unconfirmed
- Total Wall Street losses reached $3.2 trillion as a result of the Democratic midterm sweep.
- Investors panicked over a looming data-center reckoning and tougher rules on AI data centres following the midterm results.
What to watch next
- Developments regarding potential regulatory rules on AI data centers from the newly empowered Democratic lawmakers.
- Further market reaction in European and US trading sessions following the chip sell-off.
confidence 95%Sources used for this update (8)
- WSJ — Stock Market Today: AI Stocks Under Pressure While Dow Futures Rise
- CNN — Nasdaq plunges into correction territory as midterm results raise fresh questions about AI boom | CNN Business
- Yahoo Finance — Stock market today: Nasdaq plunges 5% amid chip stock wipeout, Dow and S&P 500 erase post-election rally gains
- Financial Times — Wall Street sheds $3.2tn as Democratic midterm sweep triggers brutal AI rout
- Fox Business — Stocks plunge as Dem midterm sweep fuels AI regulatory concerns
- www.euronews.com — Global stock rout deepens as AI data centre fears fuel worst ...
- nypost.com — Wall Street sees biggest market cap drops ever after midterm ...
- stockanalysis.com — S&P 500 loses about $2.9T in market value, the largest one ...
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