On Thursday, Nov. 5, the day after the midterms, U.S. stocks plunged. The S&P 500 fell 4.4% (334.89 points) to 7,353.73. The Nasdaq Composite fell 5.5%. The Dow fell 1,833.06 points (3.4%) to 51,523.06. All 11 S&P sectors fell. The drop more than erased Wednesday's gains of +1.6% for the S&P and +3.0% for the Dow. Reuters reported that Nasdaq-100 companies lost about $2.5 trillion in market value.
As reported, the selloff was led by AI, semiconductor and data-center stocks. Trump blamed Democrats' midterm results, but I couldn't find analysis supporting that as the main cause. I only had one aggregator source, so the fuller drivers are unverified.
The market numbers are right. The Dow fell 1,833 points (3.4%) and the S&P 500 fell 4.4% on Thursday, Nov. 5, after the midterms. I couldn't verify Trump's quoted post. The selloff was reported as an AI and tech-led rout, so his blaming Democrats is his own take, not an established cause.
On Thursday, Nov. 5 the S&P 500 fell 4.4% to close at 7,353.73. Its "nearly $3 trillion" loss is loose. Reuters put the Nasdaq-100 loss at about $2.5 trillion. Whether the selloff continues is speculation.
The direction is right, but the numbers are loose. On Nov. 5 the S&P fell 4.4%, the Nasdaq fell 5.5% and the Dow lost 1,833 points, not "over 1,500". Reuters put the Nasdaq-100 loss at about $2.5 trillion, not $2.8 trillion. All 11 S&P sectors fell.
On Thursday, Nov. 5, the S&P 500 fell 4.4%, the Nasdaq fell 5.5% and the Dow lost 1,833 points. Whether it's a bull-market top is opinion.
AThe S and P 500 lost four point four percent, and a post has the President blaming Democrats.
BThat's the headline after a brutal close. All eleven sectors fell.
ADow dropped one thousand eight hundred thirty-three points. Nasdaq was down five and a half percent.
BOSINTdefender posted the President's reaction on X: "The Stock Market crashed today because the Dumocrats had a big Tuesday."
ADumocrats. That's the official diagnosis.
BI checked the numbers. Reporting says AI, chips and data centers led the rout.
ARight—not a ballot box. More than erased Wednesday's gains.
BNasdaq-100 companies lost about two and a half trillion dollars in value, according to Reuters.
ASome posts are throwing out two point eight trillion, nearly three. Reuters has it closer to two point five.
BFine. Still a monster down day.
ASo I don't buy the political blame. This was a crowded AI trade getting flushed.
BI agree with the flush, but don't tell me politics didn't light the match. A big Democratic night spooks markets.
AThere's no analysis showing the midterms caused it. The selloff was led by semis and data-center names.
BThat's exactly my point—if you were already nervous on AI valuations, the midterms gave you a reason to sell.
AThen the President should say that, not "Dumocrats crashed the market."
BHe's Trump. He blames Democrats for the sun coming up. You want him to cite Elliott Wave?
AI want the cause straight. The market fell because positioning in AI was too deep.
BAnd I'll take that. But my take: this is a correction, not the end of the world.
AI can live with "correction" if you admit the tweet is spin.
BFine, the tweet is spin. Happy?
ANot happy—just accurate.
BDifferent world entirely: Unusual Whales posted that Bloomberg reports SpaceX and Tesla are making progress in merger talks.
AA deal could be announced as soon as December. That's wild.
BNot crazy. Musk already blends Tesla AI, Optimus, and Starlink. Combining the companies would be the logical next step.
AHold on. No official word yet. This is "reportedly," from unnamed sources at Bloomberg.
BSure, but Bloomberg isn't a Reddit rumor. They don't run that without some fire.
AThe mechanics are the problem. Tesla's a public automaker, SpaceX is private rockets and defense.
BSo a reverse merger? SpaceX folds into Tesla? Then Tesla shareholders get a piece of the moon.
AAnd they also get a stack of regulatory headaches. You can't just staple a launch provider onto a car company's ticker.
BWhy not? Conglomerates do multiple things. But, sure, the board has to show minority holders a fair deal.
AThat's my issue. Musk controls both sides. Independent directors would have to sign off.
BOh, come on—he owns both. If the terms are fair, it's allowed.
AAllowed isn't the same as announced. I'll believe it when there's a filing.
BFair. But if the report's right, this would be the deal of the decade.
ASpeaking of deal fever, Zero Hedge posted that Anthropic's IPO is said to be about six times oversubscribed.
B"Is said to be." That's doing a lot of work.
ARight—an unnamed source, no confirmation from Anthropic or a major outlet.
BBut the demand makes sense. After a day where AI got hammered, the IPO calendar is still full of AI.
AThat's the irony. The trade that led the selloff is the one everyone still wants a piece of it.
BExactly. Today beat the price, not the story.
AIf the six-times number is real, it tells you money wants into AI names, even at these levels.
BAnd if it's wrong, it's just another anonymous rumor on a red day.
AWe'll know when the book builds. Until then, treat it as a claim.
BSame as the merger. Lots of smoke, not much filing.