Wall Street Loses $2.5 Trillion As AI Investment Fears Trigger Biggest US Stock Market Sell-Off Since April 2025
New York: Concerns over a possible slowdown in artificial intelligence-related investments wiped out around USD 2.5 trillion in US stock market value on Thursday, as a sharp sell-off in technology stocks erased Wall Street's post-election rally, CNN reported. $2.5 TRILLION wiped out from the US stock market as AI stocks face massive selling pressure. Following the Democrats’ victory in both…
In a significant market downturn, US stocks lost approximately USD 2.5 trillion on Thursday due to anxiety surrounding potential reductions in artificial intelligence (AI) investments, according to CNN. The sell-off followed the Democratic Party's victories in both chambers of Congress, leading investors to anticipate tighter AI regulations and limitations on data centre expansion.
This came after the technology-heavy Nasdaq Composite experienced its largest single-day drop since April 2025, closing at 24,315.00, a decline of 5.52 percent. The S&P 500 and Dow Jones Industrial Average also reported their worst trading sessions since April 2025, with the S&P 500 falling 4.36 percent to 7,353.73 and the Dow Jones Industrial Average losing 3.44 percent to 51,523.06.
The decline erased the gains made during the post-election rally on Wednesday, when the Dow had surged over 1,500 points, marking its best trading day since April 2025. The market's sharp reversal was attributed to fears that the proposed restrictions could negatively impact technology companies, as investors reassessed the potential consequences of the anticipated changes in policy.
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- US stocks lose $2.5 trillion as AI investment fears trigger Wall Street sell-off thehindubusinessline.com
