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Dow Jones Falls 1,833 Points as Nasdaq Enters Correction in AI Stock Selloff
U.S. stocks plunged Thursday, Nov. 5, 2026, as shares tied to artificial intelligence and data-center buildouts led a broad retreat. The Dow Jones Industrial Average sank about 1,833 points, or roughly 3.4%, the S&P 500 fell about 4.4%, and the Nasdaq Composite dropped about 5.5% into correction territory, according to CNBC, NBC News and USA TODAY.
Closing levels widely cited put the Dow near 51,523, the S&P 500 near 7,353.73 and the Nasdaq Composite near 24,315.
This article is for general information only and is not investment advice.
How bad was the selloff?
CNBC said the Dow, S&P 500 and Nasdaq each posted their steepest one-day declines since the April 4, 2025, tariff shock. Among Thursday’s standout figures from CNBC:
- The “Magnificent Seven” lost more than $1 trillion in aggregate market cap
- Nvidia alone lost more than $440 billion in market value and fell more than 9%
- All 11 S&P 500 sectors finished negative; information technology dropped 7.30%
- Declining stocks outpaced advancers nearly 6 to 1 on the NYSE
NBC News said the Nasdaq 100 fell 6.3%, erasing about $2.3 trillion in market value, while the S&P 500’s drop erased about $2.8 trillion.
Why did markets fall?
Investors reassessed risks to the AI data-center boom after Democratic midterm gains, NBC News and USA TODAY reported. Candidates who pledged to slow or restrict data-center construction won races in major markets such as Texas, adding to worries about regulation, power costs and returns on AI spending.
Weak overnight earnings from chipmakers Qualcomm and Arm Holdings also weighed on semiconductor shares. NBC News said Arm fell about 13%, Qualcomm about 9.5%, and the Philadelphia semiconductor index sank 12.3% — its worst day since March 2020. SanDisk plunged about 22%; Micron, AMD and Marvell each fell about 17%, according to NBC News and CNBC.
Nvidia was the biggest drag on the Dow, dropping about 9.2%, NBC News reported.
What else moved?
Oil prices rose (U.S. crude up about 2.7%, Brent about 3.8%), NBC News said. Traders dialed back bets on a December Federal Reserve rate hike. Asian markets opened lower Friday, with South Korea’s Kospi briefly halted after an early plunge of more than 8%, NBC News reported.
President Donald Trump blamed Democrats for the selloff in a Truth Social post quoted by NBC News, saying the market suffered “one of the Worst Days in History based on the results of the Election.”
FAQ
Did the stock market crash?
Major indexes posted their worst day since April 2025, and the Nasdaq entered a correction (down more than 10% from its recent high), but reporting described a severe AI-led selloff rather than a systemic crash.
Where did the Dow close?
Near 51,523, down about 1,833 points, according to USA TODAY.
Earlier coverage: Dow Jones Today: Dow Soars 1,569 Points, Its Best Day of 2026, After Democrats Win Congress (Nov 4)