Jade Walker
2 min read
Like this article? Keep independent journalism alive. Support HuffPost.
The stock market suffered its worst day since President Donald Trump’s “Liberation Day” in April 2025, when he launched sweeping global tariffs and sent worldwide markets into a frenzy.
The markets initially rallied on Wednesday following the blue wave in the midterm elections, The New York Times reported. But on Thursday, the S&P 500 fell 4.4%, and the Nasdaq Composite, which is full of tech stocks, entered correction territory.
According to The Wall Street Journal, the first “cracks” in the markets actually appeared last week after Amazon and Alphabet issued underwhelming earnings reports due to heavy spending in artificial intelligence. Critics also said AI stock prices had shot too high and were in a bubble, per AP. But the WSJ attributed the Nasdaq’s “$2.5 trillion AI reality check” on Thursday – the biggest drop in the benchmark’s history – to concerns that the newer, bluer Congress could bring renewed scrutiny to AI issues and companies.
Trump, still bruised from his party losing both the House and the Senate, blamed Democrats for the markets’ reaction.
“The Stock Market suffered one of the Worst Days in History based on the results of the Election. Such a sad thing to watch! It took so much work to get us to a level that no one has ever seen before, and then this. Your 401(k)s have, therefore, dropped,” he wrote on Truth Social. “Remember, it wasn’t Republicans, it was Dumocrats. Do not fear, however, we will soon, one way or the other, be BIGGER AND STRONGER THAN EVER BEFORE.”
Trump did not mention that voters had overwhelmingly approved ballot measures that barred or called for more restrictions on AI data centers, and had rejected other initiatives that would have supported the facilities.
