Democrats Take Congress, Dow Plunges 1833 Points

陳陳柏宏 證券線記者2026-11-06 06:46

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Democrats took control of Congress in the U.S. midterms, raising fears of tougher AI data center regulation. U.S. stocks plunged across the board on the 5th, with the Dow down 1833 points, the PHLX Semiconductor Index down 12.25%, and the S&P 500 losing 3 trillion dollars in market value.

Democratic Win Sparks AI Regulation Fears

The U.S. midterm elections have ended, with the Democratic Party winning control of the U.S. Congress, sweeping both chambers, and winning key gubernatorial elections. Markets worry that regulation of artificial intelligence buildout will become stricter, slowing or blocking the investment boom in AI data centers. Chip industry and data center-related AI stocks fell for a second straight day, as investors worry the pace of data center construction could slow.

Senator Bernie Sanders called for a nationwide pause on data center construction, and posted on social platform X that Americans do not want Big Tech oligarchs to damage the environment, destroy jobs and threaten the future of humanity. The selloff wiped 3 trillion dollars in market value from S&P 500 constituent companies. The Nasdaq also posted its largest single-day drop since U.S. President Trump announced "Liberation Day" tariffs in April 2025.

All Four Major U.S. Indexes Plunge

U.S. stocks closed on the 5th, with the Dow Jones Industrial Average down 1833.06 points or 3.44% at 51523.06. The S&P 500 was down 334.89 points or 4.36% at 7353.73. The tech-heavy Nasdaq was down 1421.51 points or 5.52% at 24315.00, down more than 10% from last month's record high. The Philadelphia Semiconductor Index was down 1257.52 points or 12.25% at 9011.14, with tech losses widening sharply.

Tech Heavyweights and TSMC ADR Tumble

Chipmaker Broadcom fell 10.43%, Qualcomm fell 9.49%, Nvidia fell 9.26%, and software stock Oracle fell nearly 7%. TSMC ADR fell 42.65 dollars, 10.78%, to close at 353.1 dollars. Tech billionaire Elon Musk's Tesla and SpaceX fell 10.77% and 9.05% respectively, after Musk spent nearly 500 million dollars backing Republican candidates in the midterms. Selling pressure on the 5th also spread to other sectors, with industrial giant Caterpillar down 6.37%, financial stock JPMorgan Chase down 4.21%, and aerospace company Boeing and sportswear giant NIKE also down more than 2%.

FAQ

How did the four major U.S. indexes perform on the 5th?

The Dow Jones Industrial Average fell 1833.06 points or 3.44% to 51523.06; the S&P 500 fell 334.89 points or 4.36% to 7353.73; the Nasdaq fell 1421.51 points or 5.52% to 24315.00; the Philadelphia Semiconductor Index fell 1257.52 points or 12.25% to 9011.14.

Why is the market worried about AI data center investment?

The Democratic Party won control of Congress and key gubernatorial elections, raising fears of stricter AI buildout regulation, slowing or blocking the data center investment boom. AI-related stocks fell for a second straight day, with S&P 500 constituents losing 3 trillion dollars in market value.

How much did major tech stocks and TSMC ADR fall?

Broadcom fell 10.43%, Qualcomm fell 9.49%, Nvidia fell 9.26%, Oracle fell nearly 7%, TSMC ADR fell 42.65 dollars, 10.78%, to 353.1 dollars, Tesla fell 10.77% and SpaceX fell 9.05%.