Oncast Money · Morning Brief

Wall Street selloff: bull market or correction?

· Fact-checked before it aired. Unconfirmed claims from this segment are not shown.

On Nov. 5, 2026, the S&P 500 fell 4.36% to 7,353.73, its worst day since April 2025. The Nasdaq dropped 5.52% into correction territory, and the Dow fell 1,833 points, erasing the prior day's post-election gains. About $2.9 trillion in S&P 500 market value was wiped out, a record in nominal dollars but not in percentage terms. Friday brought a partial rebound, with the S&P 500 closing at 7,376.86.

The selloff was concentrated in AI chipmakers and infrastructure stocks. Goldman Sachs' trading desk described a “spectacular” reversal after Wednesday's post-election rebound: long-only managers were caught flat-footed, and hedge funds quickly resold stocks they had just bought. The desk said the selling was mostly macro-product-driven, not single-stock liquidation, and that investor focus shifted from long-term AI demand to the pace and cost of AI deployment, financing costs, data-center political pressure, and regulatory fears.

On Nov. 5, 2026, the S&P 500 fell 4.36% to 7,353.73, and about $2.9 trillion in S&P 500 market value was erased. The “nearly $3 trillion” loss was a record in nominal dollars, not a record percentage drop.

The Nov. 5 selloff numbers are accurate: S&P 500 roughly -4.4%, Nasdaq -5.5%, Dow down more than 1,800 points. “One of the worst days” is true in dollar-value terms, but the S&P's decline was not among the worst percentage drops in history.

Fact-check

VERIFIED TRUE

On Nov. 5, 2026, the S&P 500 fell 4.36% to 7,353.73, and about $2.9 trillion in S&P 500 market value was erased. The “nearly $3 trillion” loss was a record in nominal dollars, not a record percentage drop.

🚨 WARNING: THE US STOCK MARKET MAY NOT BE DONE SELLING OFF! 🇺🇸📉 Thursday's market crash was a serious wake-up call. The S&P 500 plunged 4.36% in ONE DAY, closing at 7,353.73. Nearly $3 TRILLION in stock market value disappeared. And history offers some important lessons.

Original post · James Michael Anderson (@gabbidelapuerta)

[trueseeker.com](https://www.trueseeker.com/case/2a18f46e08b4), [investing.com](https://www.investing.com/analysis/wall-streets-biggest-1day-loss-of-value-on-re

VERIFIED TRUE

The Nov. 5 selloff numbers are accurate: S&P 500 roughly -4.4%, Nasdaq -5.5%, Dow down more than 1,800 points. “One of the worst days” is true in dollar-value terms, but the S&P's decline was not among the worst percentage drops in history.

"The Stock Market suffered one of the Worst Days in History." News Headlines after Thursday's selloff S&P 500 -4.4%. Nasdaq -5.5%. Dow -1,800+ points. 📉 So is the bull market over? Or is this another correction, with the rally due to resume soon? 🤔 Our Elliott Wave count ha

Original post · Elliottwave Forecast | Blue Box Method (@ElliottForecast)

[investing.com](https://www.investing.com/news/stock-market-news/our-phones-are-exploding-goldman-sachs-dissects-historic-wall-street-crash-5005892), [trueseeke

Sources

What the hosts said

AGood morning, it's Saturday.
BMorning. Wall Street's Thursday shock is still the story.
AJames Michael Anderson posted on X a warning in capital letters: "WARNING: THE US STOCK MARKET MAY NOT BE DONE SELLING OFF!"
BNothing says careful analysis like the caps lock key.
ABut the numbers underneath the sirens are real. The S&P 500 fell four point three six percent on Thursday to seven thousand, three hundred fifty-three point seventy-three.
BAlmost two point nine trillion dollars of value disappeared in one day.
AThat is a record in dollar terms. It is not a record in percentage terms.
BI keep hearing "one of the worst days in history." It was bad. It was not 1987.
ARight. A steep drop in dollar terms, though not one of the worst percentage crashes in history.
BElliottwave Forecast posted on X the scorecard: S&P down four point four percent, Nasdaq down five and a half, Dow down more than eighteen hundred points.
AThe Nasdaq fell into correction territory, and the Dow gave back its post-election bounce.
BSo is the bull market over? That is the question they are asking.
AI don't think Thursday answered it. Goldman Sachs said the selling was macro-product-driven, not people dumping everything.
BTheir desk called flows "completely panicked." That's their word, not mine.
ABut they also said rebounds can be violent. Friday proved that.
BRobert Melillo posted the Friday close on X, showing the S&P 500 up slightly.
ASmall bounce, but it stopped the bleeding.
BHe also lists the Nasdaq up one point one percent. I have only seen the S&P number confirmed independently.
AFair. The confirmed picture is down hard Thursday, up slightly Friday.
BNow the history crowd is out with the bounce pattern.
AThe Kobeissi Letter, quoted by Benzinga, says after prior four percent S&P drops, the market averaged six point seven percent gains over three months.
BBut an average is not a promise. Some of those drops led to more pain first.
AExactly. History gives odds, not certainty.
BInvesting.com's analysis found that since 1950, similar oversold readings with the S&P above its two hundred day average usually led to a bounce, not a crash.
AThe uncomfortable part is that oversold markets can still undershoot before they bounce.
BBut above the two hundred day average means the longer trend was still up.
ASo the burden is on the bears to prove this is more than a correction.
BExactly. One hard Thursday does not end a bull market by itself.
AIt can start one though. We won't know for a few weeks.
BFair pushback. The market's job now is to hold Friday's levels.
AIf it breaks below Thursday's low, the narrative changes fast.
BAnd then James Michael Anderson's warning looks less like fear and more like a roadmap.
AFor now, I'd call him early, not wrong.
BMy take: the AI names had gotten way ahead of the cost of actually building all this.
AThe selling concentrated in chipmakers and data center stocks.
BFinancing costs, regulatory fear, data center politics. That's a repricing, not just panic.
AThat's why a correction makes sense. A new bear market? I don't see it yet.
BI wouldn't go that far either. But the easy momentum trade is over.
AThat line will age either very well or very badly.
BNo promises.
AIf money is rotating instead of leaving, the selling can burn out quickly.
BThat's the question for today. Futures and overseas markets will show if Friday's bounce holds.
AFor now, the record dollar loss and the bounce afterward are both true.
BNobody should call Thursday calm. It was the biggest one-day loss of market value on record.
AJust not the biggest percentage crash.
BWe'll see if Saturday brings follow-through.

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