Yesterday (2026.11.5), U.S. stocks plunged, with the Nasdaq $QQQ falling 5%, as the Democratic Party’s victory in the midterm elections sparked concerns about regulation of AI data centers. Tech stocks fell even more sharply.
Historically, the Nasdaq has fallen more than 5% in a single day over 30 times. Outside of major bear markets, it has typically regained its previous closing level within a few days to several weeks, while reaching new highs has taken months to years—for example, about 3 months in 2020, about 2 years in 1987, and about 15 years after the 2000 bubble.
Although AI regulation has triggered short-term volatility this time, the long-term outlook for AI development remains bullish, contrasting with market concerns that data center construction may slow.
Historically, the Nasdaq has fallen more than 5% in a single day over 30 times. Outside of major bear markets, it has typically regained its previous closing level within a few days to several weeks, while reaching new highs has taken months to years—for example, about 3 months in 2020, about 2 years in 1987, and about 15 years after the 2000 bubble.
Although AI regulation has triggered short-term volatility this time, the long-term outlook for AI development remains bullish, contrasting with market concerns that data center construction may slow.