Largest Single Day Drop In Market Cap
Two days after the midterm elections swept a bloc of artificial-intelligence skeptics into power, the new reality slammed into Wall Street.
Thursday’s stock-market wipeout left few corners of the tech sector unscathed. Asian chip makers, Texas power producers, New Jersey compute providers, Silicon Valley software makers, contractors and data-center developers all tumbled, often in unison, in a selloff that appeared to feed on itself as the day wore on.
Traders making highly leveraged bets got crushed, but so did those who doubted a recent pullback in AI stocks would get worse. It did, from the opening bell.
“It seems like the rug is getting pulled out from under it,” said Jonathan Corpina, senior managing partner at Meridian Equity Partners. “The market continues to be extremely fragile with all this uncertainty in front of us.”
By Thursday afternoon, some $1 trillion of the Magnificent Seven group of tech giants’ collective market value had vanished. The PHLX Semiconductor index posted its worst day since the depths of the pandemic. The Nasdaq composite stumbled into correction territory, shedding an estimated $2.5 trillion in total market value. And the poster child of the AI boom, Nvidia, closed the session in the red—for 2026. Musk companies shed $420 billion in market value today.
Thursday’s stock-market wipeout left few corners of the tech sector unscathed. Asian chip makers, Texas power producers, New Jersey compute providers, Silicon Valley software makers, contractors and data-center developers all tumbled, often in unison, in a selloff that appeared to feed on itself as the day wore on.
Traders making highly leveraged bets got crushed, but so did those who doubted a recent pullback in AI stocks would get worse. It did, from the opening bell.
“It seems like the rug is getting pulled out from under it,” said Jonathan Corpina, senior managing partner at Meridian Equity Partners. “The market continues to be extremely fragile with all this uncertainty in front of us.”
By Thursday afternoon, some $1 trillion of the Magnificent Seven group of tech giants’ collective market value had vanished. The PHLX Semiconductor index posted its worst day since the depths of the pandemic. The Nasdaq composite stumbled into correction territory, shedding an estimated $2.5 trillion in total market value. And the poster child of the AI boom, Nvidia, closed the session in the red—for 2026. Musk companies shed $420 billion in market value today.
