UK media: Democratic victory in the US midterm elections triggers global tech stock sell-off, as investors grow concerned over tightened AI regulation and the potential for massive investments to yield no returns.
The Nasdaq plunged 5.5% on November 5, erasing approximately $2.5 trillion in market value in a single day. The "Big Seven" tech stocks—Apple, Nvidia, Tesla, and others—lost about $1 trillion collectively. Nvidia dropped more than 9%, AMD and Micron each fell over 17%, while SpaceX and Tesla, both under Elon Musk’s leadership, declined by 8% and nearly 11% respectively, together shedding over $300 billion in market capitalization. European semiconductor stocks also suffered sharp declines, with Infineon down 8.5% and ASML dropping 6.5%.
Asian markets continued their downward trend on November 6. The Nikkei Index closed 6% lower; SK Hynix in South Korea fell over 10%, Samsung dropped 6.4%, and the KOSPI index slid 6%. During the campaign, Democrats opposed the expansion of data centers. With control of Congress now secured, their post-election policy direction may slow progress on AI infrastructure. Combined with growing market anxiety over a potential AI bubble burst, this has triggered a wave of panic selling.
Original source: toutiao.com/article/1881096978532490/
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