The Plunge In AI Company Stocks Following The U.S. Election Swept Through Global Markets

6.11.2026, 19:22
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The U.S. stock market lost more than $3 trillion in market capitalization.

A few days after the U.S. midterm elections, stock markets around the world saw a decline in share prices. Particularly significant losses were observed on Asian stock exchanges, where the technology sector had been growing rapidly in recent months amid the artificial intelligence (AI) boom and the expansion of data center networks. On Friday, November 6, the stock prices of technology companies and chipmakers fell the most, according to DW.

South Korea’s main KOSPI index briefly plummeted by nearly 9% and closed down 6% at the end of trading amid significant losses in the shares of key semiconductor manufacturers SK Hynix and Samsung.

On the Tokyo Stock Exchange, stock prices fell by an average of 6%. Japanese investor SoftBank, which is involved in many AI projects in the U.S., lost more than 10% of its market capitalization. Trading in Taiwan, Hong Kong, Shanghai, Sydney, Singapore, Jakarta, Bangkok, Wellington, and Manila also ended with falling prices.

Major indices in Paris, London, and Frankfurt were trading in the red

In Europe, stock prices also declined throughout the day. The most notable decline occurred in Germany, where the key DAX index had reached a new all-time high the previous day, surpassing the 26,600-point mark. During trading on November 6, the Frankfurt Stock Exchange’s key index fell about 750 points below that level.

By midday, indices in Paris had fallen by about 1.7%, in London by more than 2%, and in Frankfurt by 2.4%, according to AFP. Analysts described what was happening in the markets as a “bloodbath.”

Stock Market Crash Following the Democrats’ Victory in the U.S.

The results of the midterm congressional elections held in the U.S. on November 3 initially gave a boost to many markets. Investors, buoyed by the Republicans’ crushing defeat, had hoped for a reduction in tensions surrounding the war in Iran. But the Democrats’ victory also cast doubt on Washington’s previous policy of large-scale construction of data centers across the United States, a move that had sparked protests from local residents. This issue became a major topic of the election campaign, with many Democratic candidates advocating for stricter regulations on the construction of such facilities.

The first to drop in price were the shares of American tech giants, such as SpaceX and Google. Subsequently, losses on the U.S. Nasdaq technology index became more widespread. On November 5, the index plummeted by 5.5%, marking its worst performance since April 2025, when U.S. President Donald Trump announced the imposition of large-scale tariffs on many countries. According to analysts, Democratic Senator Bernie Sanders’ call for a nationwide moratorium on the construction of data centers in the U.S. caused particular concern.

The U.S. stock market lost more than $3 trillion in market capitalization

According to the Financial Times, following the Democrats’ victory, the U.S. stock market lost more than $3 trillion in market capitalization. In recent days, a massive sell-off of tech stocks has begun on the U.S. market. Investors fear that the artificial intelligence boom has become overheated and that the multi-trillion-dollar investments in AI infrastructure may not yield the expected returns.

Companies involved in the development of artificial intelligence were hit the hardest. Nvidia’s market capitalization has fallen by more than $400 billion, Oracle’s stock has dropped 7%, and Nebius and CoreWeave shares have lost nearly 15% and about 10%, respectively. Experts attribute this to growing market doubts about the return on large-scale investments in AI and the infrastructure needed for its development.

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