News
Markets have taken a sharp downturn Thursday after new political realities in the US have forced investors to reconsider AI’s future.
By Brad Randall, Broadband Communities
November 5, 2026
Volatility in the stock market continued Thursday as tech stocks dipped with new political realities that have begun to fully set in across the tech sector.
The Nasdaq fell over 5% Thursday. The Dow, meanwhile, fell over 1,800 points, erasing a 1,569-point surge posted on Wednesday.
Shares of chipmaker Nvidia and SpaceX were among those to lose substantial value Thursday, with losses exceeding 9% for Nvidia.
The Nasdaq 100 also had its worst day since March 2020, which came during the height of the Covid-19 pandemic.
Companies involved in data centers, including the companies representing the “‘picks and shovels’ of the data center buildout” have been among those heavily impacted by selloffs, outlets like CNN have reported.
The selloff comes after stocks surged on Wednesday, the day after Democrats saw massive victories in the midterm elections in states like Texas.
The Lone Star State had once been envisioned as a data center hub, but the public seemingly has other plans.
Data centers became a top issue during the campaign of Democrat Gina Hinojosa, who performed a stunning upset of incumbent Republican Governor Greg Abbott in the Texas gubernatorial race this week. Her win has sent shockwaves across the business world.
Hinojosa has pledged to extend a statewide moratorium on data center construction in Texas until the state legislature meets in 2027.
Her position is far from unpopular though.
Recent polling from Ipsos has revealed that over 70% of Americans oppose data center construction in their communities.
The president, meanwhile, has blamed American voters at-large for the market’s woes.
“The Stock Market crashed today because the Dumocrats had a big Tuesday — So sad to see, you only have yourselves to blame!”
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