Wall Street Slides as Chipmakers Tumble
The S&P 500 tumbled about 3.5%, the Nasdaq plunged more than 5%, and the Dow shed nearly 1,500 points on Thursday, wiping out the previous session’s gains amid a sharp post-election selloff in chipmakers. The sector was on track for its worst weekly performance since the April 2025 tariff rout. Democrats won control of both the Senate and the House of Representatives in the midterm elections and are expected to push for tighter regulations on computing hubs essential to AI development. Such measures could slow infrastructure expansion and delay rollouts that major companies are counting on to boost their bottom lines. Losses were broad-based, but chipmakers led the selloff. Nvidia and AMD both fell more than 7%, while Micron plunged over 12.5%. Tesla also tumbled more than 11%, while Applied Materials dropped over 11% and Lam Research sank more than 13%. Among hyperscalers, Microsoft fell over 2.5%, Meta shed more than 3.5%, and Oracle plunged 7%.
The S&P 500 tumbled about 3.5%, the Nasdaq plunged more than 5%, and the Dow shed nearly 1,500 points on Thursday, wiping out the previous session’s gains amid a sharp post-election selloff in chipmakers. The sector was on track for its worst weekly performance since the April 2025 tariff rout. Democrats won control of both the Senate and the House of Representatives in the midterm elections and are expected to push for tighter regulations on computing hubs essential to AI development. Such measures could slow infrastructure expansion and delay rollouts that major companies are counting on to boost their bottom lines.
Losses were broad-based, but chipmakers led the selloff. Nvidia and AMD both fell more than 7%, while Micron plunged over 12.5%. Tesla also tumbled more than 11%, while Applied Materials dropped over 11% and Lam Research sank more than 13%. Among hyperscalers, Microsoft fell over 2.5%, Meta shed more than 3.5%, and Oracle plunged 7%.