Did the Stock Market Crash Today? Nasdaq Rebounds After $2.5 Trillion Selloff as Dow Futures Signal Volatility

The U.S. stock market recovered some of its losses Friday, November 6, after a punishing selloff erased approximately $2.5 trillion from the Nasdaq’s market value in a single session. Technology shares led the rebound, but the Dow Jones Industrial Average finished lower, and all three major U.S. stock indexes recorded weekly declines.

For investors asking whether the stock market crashed today, the answer depends on the trading session. Thursday, November 5, brought an unusually severe decline, with the Nasdaq Composite plunging 5.5% and entering correction territory. Friday brought a partial recovery rather than another broad market collapse.

The turbulence followed the Democratic Party’s victories in the U.S. midterm elections, which prompted investors to reassess the outlook for artificial intelligence investment, data-center construction and federal regulation. Concerns about inflation, interest rates and the financing of expensive AI infrastructure projects added to the selling pressure.

According to Reuters, technology shares recovered Friday after their steepest one-day retreat in more than a year, although the Nasdaq still recorded its fourth consecutive weekly decline.

Stock Market Today: Nasdaq Recovers, Dow Closes Lower

Friday’s recovery was concentrated in technology stocks, particularly semiconductor companies that had suffered heavy losses the previous day.

The Nasdaq gained 264.43 points, while the S&P 500 advanced 23.13 points. The Dow declined 237.33 points, reflecting a market in which investors were willing to buy selected technology shares but remained cautious about the broader economic outlook.

The weekly performance was considerably weaker:

• Nasdaq Composite: down 3.4%.

• Dow Jones Industrial Average: down 0.9%.

The S&P 500 suffered its worst weekly decline since the market disruption surrounding President Donald Trump’s tariff announcements in April 2025, according to the Associated Press.

Why Did the Stock Market Crash Yesterday?

The most dramatic selling occurred Thursday, when the Nasdaq Composite fell 1,421.52 points to 24,315.00, a decline of approximately 5.5%.

The Dow Jones Industrial Average lost 1,833.06 points, or 3.4%, closing at 51,523.06. The S&P 500 declined approximately 4.4%, with all 11 of its major sectors finishing lower.

The losses followed an extraordinary reversal in investor sentiment. On Wednesday, November 4, stocks had surged after the midterm election results. By Thursday, investors were selling many of the same companies that had benefited from enthusiasm about artificial intelligence.

The ABC News market report confirmed that the Nasdaq had fallen more than 10% from its October peak, meeting the conventional definition of a market correction.

A correction is generally defined as a decline of at least 10% from a recent high. A bear market typically involves a decline of 20% or more. Neither definition automatically describes a financial crisis or an economic recession.

Thursday’s selloff was severe, but the available evidence does not establish that the United States experienced a systemic financial crash comparable to 2008.

Nasdaq’s $2.5 Trillion Drop: What Happened to Technology Stocks?

The estimated $2.5 trillion loss in Nasdaq market capitalization was one of the most striking figures from Thursday’s trading.

CNN Business reported that the selloff reflected both concerns about the future of artificial intelligence investment and pressure on leveraged investors who had borrowed money to increase their exposure to rising technology stocks.

When prices fall sharply, investors using borrowed funds may face margin calls requiring additional collateral. Those unable or unwilling to provide it may be forced to sell securities, potentially accelerating the decline.

The selling was especially pronounced among semiconductor manufacturers, AI infrastructure providers and companies dependent on the expansion of data centers.

Nvidia, one of the most influential companies in the artificial intelligence investment cycle, rebounded 2.8% Friday after falling 9.3% and 3.2% in the preceding two sessions, according to AP.

The $2.5 trillion figure represents an estimated reduction in market capitalization, calculated from falling share prices. It does not mean that investors collectively withdrew $2.5 trillion in cash from the market.

The market value of a publicly traded company can decline substantially even when the actual dollar value of shares changing hands is much smaller.

Dow Futures and Nasdaq Futures: How Traders Reacted

Stock futures provided an early indication Friday that investors were beginning to distinguish between technology companies and the broader market.

At 4:14 a.m. Eastern Time on November 6, Reuters reported the following futures-market movements:

These figures were recorded before Friday’s regular trading session and are not current weekend quotes.

The divergence was notable. Nasdaq futures were recovering as investors returned to semiconductor stocks, while DJIA futures remained negative.

Dow futures, sometimes described as DJIA futures, track contracts tied to the Dow Jones Industrial Average. Nasdaq futures generally refer to Nasdaq-100 contracts, which follow a different index from the broader Nasdaq Composite.

The futures market allows investors to trade contracts linked to stock indexes outside regular stock-exchange hours. However, stock futures are not guaranteed predictions of where the indexes will close.

As of early Saturday, November 7, U.S. cash equity markets were closed for the weekend. No verified live Dow futures now or stock futures now quotation is included here.

Wall Street Tech Sector Volatility Spreads Beyond the United States

Thursday’s losses quickly reached international markets.

According to Reuters reporting from Asian markets, Japan’s Nikkei fell approximately 6% Friday, while South Korean and Taiwanese shares experienced sharp declines as investors reduced their exposure to semiconductor and AI-related businesses.

Taiwanese stocks finished approximately 4.5% lower after recovering from deeper intraday losses.

The selling affected companies throughout the semiconductor supply chain, including manufacturers that provide memory chips, processors and other components used in artificial intelligence systems.

In the United States, the Philadelphia Semiconductor Index had fallen more than 12% Thursday, while the S&P 500 information technology sector lost 7.3%.

Both recorded their largest one-day percentage declines in more than six years, Reuters reported.

The following session brought a substantial reversal. The semiconductor index climbed 4.2% Friday, Advanced Micro Devices gained approximately 11%, and Nvidia advanced 2.8%.

Despite the rebound, the Nasdaq remained below its October peak.

Why the Midterm Elections Changed Wall Street’s Outlook

The political dimension of the selloff centered on the future of AI infrastructure.

Democrats’ victories in the November 3 midterm elections gave the party control of both chambers of Congress. Investors began considering whether a change in legislative priorities, combined with state-level opposition to data centers, could slow construction and increase operating costs.

Data centers have become a contentious issue in some communities because of their electricity consumption, water requirements and effects on local infrastructure.

CBS News reported that voters had approved more than 40 ballot measures restricting data centers, citing research by political consulting firm Redbud Consulting.

Nevertheless, changes to federal policy are far from automatic. President Trump retains veto authority, and congressional control alone does not guarantee passage of major legislation.

Investors’ concerns involve potential future restrictions rather than an already enacted nationwide prohibition on AI infrastructure development.

The market is also confronting questions about whether the enormous capital expenditure associated with artificial intelligence will generate returns sufficient to justify current technology valuations.

Strong Jobs Report Adds Another Concern: Interest Rates

Friday’s economic data introduced a second challenge for investors.

The October U.S. employment report was stronger than expected, according to Reuters, reinforcing expectations that the Federal Reserve could increase interest rates to contain inflation.

Higher borrowing costs can affect equity valuations, particularly for growth companies whose market prices depend heavily on expectations of future earnings.

They can also increase financing costs for businesses constructing data centers and purchasing expensive computing equipment.

Following Friday’s employment report, federal funds futures indicated an approximately 80% probability of an interest-rate increase at the Federal Reserve’s December 8–9 meeting, according to LSEG data cited by Reuters.

Those probabilities are market-implied estimates, not announcements of future Federal Reserve decisions.

The next major economic release is scheduled for Tuesday, November 10, when the government is expected to publish October consumer price index figures.

A stronger-than-expected inflation reading could reinforce expectations of tighter monetary policy. A softer reading could ease some of the pressure on interest-rate-sensitive stocks.

What Could Happen to the Stock Market Next Week?

The immediate focus for Wall Street will be whether Friday’s technology rebound can continue after four consecutive weeks of Nasdaq losses.

Several developments are likely to influence trading.

First, investors will examine the October inflation report for evidence about the Federal Reserve’s next policy decision.

Second, earnings announcements from CoreWeave, Applied Materials and Cisco Systems will provide additional information about demand for AI infrastructure, semiconductor equipment and enterprise technology.

Third, traders will monitor whether selling pressure returns to highly valued technology stocks after Friday’s rebound.

Marvin Loh, senior global macro strategist at State Street, told Reuters that the market faced continuing uncertainty about regulatory policy and the potential slowdown in data-center investment.

For the moment, the broad market has not entered a bear market. The S&P 500 remained 7.8% higher for 2026 at Friday’s close, according to the Associated Press.

The Nasdaq, however, remained in correction territory, and the latest recovery did not erase Thursday’s losses.

The next scheduled regular U.S. stock-market session is Monday, November 9. The inflation report follows on Tuesday, with investors also awaiting technology earnings that could provide new evidence about the financial outlook for artificial intelligence investment.

Our assessment for November 9–13 is that another volatile, uneven trading week is more likely than a sustained market recovery. The Nasdaq faces greater downside risk than the Dow because of its concentration in technology companies, although Friday’s rebound suggests that buyers remain willing to return after sharp declines.

Our Stock Market Prediction for November 9–13

Based on Friday’s closing levels, the recent correction and the coming economic calendar, our central scenario is that the Nasdaq and S&P 500 will trade unevenly, with a modest negative bias.