The Nasdaq Composite plunged 5.52% on Thursday to close at 24,315.00, sliding more than 10% below the record it set last month and entering correction territory. The S&P 500 dropped 4.36% to 7,353.73, while the Dow Jones Industrial Average shed 1,833.06 points, or 3.44%, to settle at 51,523.06. All three major averages posted their worst day since April 2025, and the small-cap Russell 2000 fell 4.45%, also entering correction, according to CNBC.
The trigger was a rapid retreat from the artificial intelligence trade. Investors are worried that a Democratic sweep of both chambers of Congress, plus wins in key gubernatorial races, could slow down the data-center buildout that has powered tech earnings for the past three years. The sell-off erased the sharp gains from Wednesday's postelection rally, when the Dow jumped more than 1,500 points.
AI and chip stocks lead the sell-off
Chip and data-center names took the heaviest hits. Nvidia fell 9%, Broadcom dropped 10%, and Oracle slid almost 7%. Qualcomm beat earnings estimates but still dropped 9% on a weaker-than-expected outlook. The iShares Semiconductor ETF (SOXX) lost more than 12%, its worst day since the Covid-19 outbreak of March 2020.
The pain spread to neocloud companies: CoreWeave lost almost 10%, Nebius about 15% and Iren nearly 17%. The Mag7 — Nvidia, Tesla, Microsoft, Apple, Meta, Amazon and Alphabet — were down close to an aggregate $900 billion in market value heading into the final hour of trading, with Nvidia alone worth some $374 billion less than at Wednesday's close.
- Nasdaq Composite: -5.52% to 24,315.00, now in correction
- S&P 500: -4.36% to 7,353.73
- Dow Jones: -1,833.06 points (-3.44%) to 51,523.06



