# Global stocks plunge on AI slowdown fears

> Markets from Wall Street to Asia tumble after Democrats' midterm victory raises questions about artificial intelligence spending.
- Title: Global stocks plunge on AI slowdown fears · the Guardian
- Summary: Markets from Wall Street to Asia tumble after Democrats' midterm victory raises questions about artificial intelligence spending.
- Keywords: stock markets, artificial intelligence, nasdaq, ftse 100, wall street, tech stocks, democrats, midterm elections, the Guardian
- Source: the Guardian — https://theguardian.com/business/2026/nov/06/global-stocks-plunge-amid-ai-slowdown-fears-after-democrats-midterm-triumph
- Published: 2026-11-06T08:58:22+00:00
- Read time: 1 min
- Topics: stock markets, artificial intelligence, nasdaq, ftse 100, wall street, tech stocks, democrats, midterm elections, news, world
## Wall Street leads the sell-off
The Nasdaq share index had its worst day in nineteen months on Thursday, slumping five point five percent.
## Losses spread across global markets
Asian markets fell sharply on Friday morning.Japan's Nikkei two hundred twenty-five index sank six percent and South Korea's Kospi index tumbled more than eight percent.
## AI spending slowdown sparks fears
Susannah Streeter, chief investment strategist at Wealth Club, said the Democrats' midterm victory sparked concerns about artificial intelligence investment.

> Big worries are colliding, the build-out of datacentres looks set to slow, which risks shredding the spending spree underpinning the boom, right at the time that investors have become super nervous about returns on this massive investment.
## Markets remain up for the year
Despite sharp losses, most indices remain positive since January.The Nasdaq Composite is up four point six percent since the start of January, though more than ten percent below its peak.
## Key takeaway

Global stock markets fell sharply after the Democrats' midterm victory sparked fears of a slowdown in AI industry spending and investment returns.