TL;DR
Get business pricing on office and shipping supplies
- Business-only prices and quantity discounts
- Tax-exempt purchasing
- Multiple users, one account, clear invoices
U.S. stocks reversed Wednesday’s post-election rally on Thursday, Nov. 5, as selling in chip and AI-related shares weighed on the major indexes. The Dow fell 2.2%, the S&P 500 dropped 3.3% and the Nasdaq lost 5% in the latest reported figures; the semiconductor index fell 11%. The report was updated at 5:17 p.m. GMT+1, but did not provide final closing levels.
U.S. stocks reversed Wednesday’s post-election rally on Thursday as a sharp sell-off in artificial-intelligence and semiconductor shares dragged down the Dow Jones Industrial Average, S&P 500 and Nasdaq Composite. In the latest figures reported by Yahoo Finance, the Dow was down 2.2%, the S&P 500 3.3% and the Nasdaq 5%, with the Nasdaq nearing a correction and the semiconductor index falling 11%.
The declines followed an early session in which U.S. indexes were mixed: the Dow initially rose 0.6%, while the S&P 500 slipped 0.3% and the Nasdaq fell 1%, according to Yahoo Finance’s live report. Selling intensified later. One update put the Nasdaq down about 4%, the S&P 500 off 2.3% and the Dow more than 700 points lower. The report’s later summary listed steeper losses, reflecting the rapidly changing market during the day.
Chipmakers were among the hardest hit. The PHLX Semiconductor Index fell 11%, while an earlier market update said Nvidia shares were down more than 6%, Micron more than 12% and AMD more than 13%. Yahoo Finance reported that the sector’s losses erased roughly $2 trillion in market value; the report did not specify the exact measurement period behind that estimate. Technology weakness also spread beyond chipmakers, with Apple among the previous day’s gainers that turned lower.
Market stress rose alongside the sell-off. The CBOE Volatility Index, commonly known as Wall Street’s fear gauge, surged more than 65% to as high as 27.45, Yahoo Finance reported, citing Futurum Equities chief market strategist Shay Boloor. Oil moved higher as investors weighed uncertainty about whether President Donald Trump would pursue an agreement with Iran to end the Middle East war. Brent crude traded around $97 a barrel and U.S. benchmark West Texas Intermediate near $90, according to the report.
Tech Sell-Off Reverses Election Gains
The reversal shows how quickly the market’s response to political news can give way to sector-specific concerns. Wednesday’s rally followed the Democrats’ sweeping midterm victory, but Thursday’s losses were concentrated in technology and semiconductor shares. That matters to investors because major technology companies and chipmakers have substantial influence on broad market indexes, making a sharp decline in the sector capable of pulling the overall benchmarks lower.
The fall in the Nasdaq and the semiconductor index also points to elevated sensitivity around expectations for AI-related spending and the outlook for chip companies. Yahoo Finance reported that investors were weighing what the Democratic sweep could mean for AI infrastructure spending and regulation. The day’s price moves do not, by themselves, establish that election outcomes caused the sell-off or show how long it will last.
Rising oil prices added another source of uncertainty. Higher crude prices can affect household and business costs, while a large jump in the VIX signals a rapid increase in expected market volatility. The combination of falling growth-oriented shares and rising oil prices leaves investors watching both corporate prospects and geopolitical developments.
Popular right now
Bose QuietComfort Headphones (2nd Gen), Wireless Over-Ear Noise-Cancelling Headphones, Black
De’Longhi Classic Matte Black Espresso Machine with Milk Frother
Shark Navigator Lift-Away Upright Vacuum Cleaner, White (NV356E)
As an affiliate, we earn on qualifying purchases.
From Post-Election Rally to Reversal
The market moved sharply between Wednesday and Thursday. Investors had welcomed the midterm results on Wednesday, when Democrats swept both chambers of Congress, according to the source report. On Thursday, traders reassessed the implications for industries and policy while technology and chip shares came under pressure. The report does not provide final closing prices, so the percentages cited are the latest reported figures rather than confirmed closing results.
Other developments offered a mixed picture. Challenger, Gray & Christmas reported that October layoff plans fell to their lowest level since 2023, as companies turned toward retaining existing employees. That report came ahead of Friday’s key U.S. employment report. Some individual companies also rose: AppLovin gained 23% in premarket trading after reporting quarterly revenue and earnings above analyst estimates and issuing a stronger-than-expected fourth-quarter forecast, according to Yahoo Finance.
Bitcoin also fell, dropping below $76,000 and losing more than 5% on Thursday, reversing a rebound that had taken it above $80,000 the prior day. The report linked the move to the broader stock-market reversal, while also noting concerns after a reported $6.3 billion hack of Binance the previous week and uncertainty over U.S. crypto legislation.
Closing Levels and Policy Effects
The supplied report does not give final closing figures for the Dow, S&P 500 or Nasdaq, and its intraday updates show losses deepening over time. The Nasdaq was described as being on track to close in correction territory, but the report does not confirm that it finished the session there. It also does not establish a single cause for the sell-off: AI and chip-stock pressure, election-related policy questions and wider market conditions were all discussed.
It remains unclear how lasting the declines will be or whether the market will continue to reassess the election’s implications in coming sessions. The report also does not provide a confirmed policy timetable for potential changes to AI infrastructure spending, regulation or the crypto bill. The VIX and oil prices were reported at intraday levels, not as final settlement figures.
Friday Jobs Data in Focus
Investors were looking ahead to Friday’s U.S. employment report, following Challenger, Gray & Christmas’s account of lower planned layoffs in October. The jobs figures could offer a broader check on labor-market conditions, though the supplied report does not give a release time or forecasts.
Markets will also continue to track semiconductor and AI-related shares, oil prices and developments around the Middle East conflict. Company earnings, including reports from Duke Energy, Airbnb and Lumentum, were on Thursday’s calendar. Further trading will clarify whether Thursday’s reversal was a one-session reaction or part of a wider shift in market expectations.
Key Questions
Why did the U.S. stock market fall on Thursday?
Yahoo Finance attributed the sharp declines mainly to selling in AI, technology and semiconductor shares, as investors also weighed the possible market and economic effects of the Democrats’ midterm victory. The report does not identify one confirmed cause for the entire sell-off.
How much did the major indexes fall?
The latest figures in the report put the Dow down 2.2%, the S&P 500 down 3.3% and the Nasdaq down 5%. These were reported during the session; the source did not provide final closing levels.
Did the Nasdaq close in correction territory?
The report said the Nasdaq was on track to close in a correction, but did not confirm its closing level or state that it finished the session in correction territory.
What happened to semiconductor stocks?
The PHLX Semiconductor Index fell 11% in the latest figures. An earlier update reported declines of more than 6% for Nvidia, 12% for Micron and 13% for AMD.
What market event was next on investors’ calendar?
The report pointed to Friday’s U.S. employment report as the next key economic release. It also listed company earnings scheduled for Thursday, including results from Duke Energy, Airbnb and Lumentum.
Source: finance.yahoo.com
