Dow Drops 1,833 Points as AI and Chip Stocks Lead Thursday Selloff
The Dow Jones Industrial Average fell 1,833 points, about 3.4%, Thursday, reversing the previous day’s election-driven rally. CBS News and ABC7 reported a broad selloff that hit AI and semiconductor companies especially hard.
By the Bay Area Brief staff · Edited by Seamus McKenna · · 2 min read
Downtown San Jose and the Santa Clara Valley from the hills. Photo: Michael from San Jose, California, USA / Wikimedia Commons, CC BY 2.0 (cropped, resized and color-graded). Archive photo of the area; not a photo of the events in this story.
The Dow Jones Industrial Average fell 1,833 points, about 3.4%, Thursday, reversing the previous day’s election-driven rally. CBS News and ABC7 reported a broad selloff that hit AI and semiconductor companies especially hard.
The Nasdaq dropped about 5.5% and entered correction territory, more than 10% below its recent peak. ABC7 reported Nvidia closed down 9%, AMD fell 17% and SanDisk lost more than 22%.
The reversal followed Wednesday’s roughly 1,570-point Dow gain. The reports described investors reassessing the outlook for AI infrastructure after the midterms, including possible obstacles to data-center development. One day’s price action does not establish how any future policy will affect company earnings.
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Santa Clara chipmakers AMD and Intel each fell about 8% on Thursday, Oct. 22, Meta lost nearly 7% and Nvidia 4.4%, as surging oil prices and worries about who pays for the AI build-out hit tech stocks.
The Dow, S&P 500 and Nasdaq each rose about 0.4% early Monday as oil prices fell and investors braced for the Fed decision and big tech earnings, while a Brazil ETF tumbled after Lula's reelection.
San Francisco's Anthropic, the company behind Claude, made its IPO filing public on Monday. The S-1 shows $16.29 billion in first-half revenue and an $80.7 billion net loss.
