US STOCKS : NASDAQ POSTS BIGGEST DROP IN 19 MONTHS AS DEMOCRAT MIDTERM WIN FUELS AI REGULATION FEARS

What happened: The Nasdaq Composite posted its biggest one-day drop in 19 months as chipmakers fell on fears of tougher AI regulation after Democrats won control of the US Congress. Key numbers: Nasdaq fell 5.52% to 24,315.00, down more than 10% from its Oct 6 record close, confirming a correction. Why it matters: Analysts cited concerns that tighter regulation could slow the AI infrastructure buildout that has lifted stocks to record highs. One portfolio manager called the moves outsized, describing it as a capitulation phase for data center capex beneficiaries. Coverage: 7 outlets in 24h

The Nasdaq Composite posted its biggest one-day drop in 19 months as chipmakers fell on fears of tougher AI regulation after Democrats won control of the US Congress.

Analysts cited concerns that tighter regulation could slow the AI infrastructure buildout that has lifted stocks to record highs. One portfolio manager called the moves outsized, describing it as a capitulation phase for data center capex beneficiaries.