Nasdaq enters correction territory as AI selloff deepens; chip ETF posts worst day since March 2020
What happened
The Nasdaq Composite fell more than 5% intraday on Thursday, November 5, pushing the index more than 10% below its recent record and into correction territory. The S&P 500 dropped about 3.3-3.4% and the Dow fell roughly 1,200 points (about 2.3%), wiping out most of Wednesday's post-midterm rally in a single session. The Philadelphia Semiconductor Index fell about 7.1%, and the iShares Semiconductor ETF dropped as much as 11% intraday, potentially its worst session since March 2020. Individual chip and AI-infrastructure names plunged: AMD fell about 13%, Qualcomm nearly 12%, Sandisk, Astera Labs, Seagate, Lumentum, Micron and Western Digital each fell 12-18%, Nvidia about 7% and Tesla about 9.5%.
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Start your free 14-day trialWho’s affected
- Nasdaq Composite and Nasdaq 100 (correction territory, down >10% from record highs); semiconductor sector broadly — Nvidia (NVDA, ~-7%), AMD (~-13%), Broadcom, Micron, Intel, Marvell, Qualcomm (~-12%), Sandisk, Seagate, Western Digital, Astera Labs, Lumentum
- AI infrastructure/data-center names — Dell (DELL, extending its selloff), Arm, CoreWeave; hyperscalers — Meta (~-4%), Microsoft (~-2%), Amazon and Alphabet lower
- Tesla (TSLA, ~-9.5%) on political and regulatory scrutiny of Musk-linked companies; defensive sectors (health care, staples, energy, utilities) absorbing rotation flows.