Wall Street Has A MAGA Meltdown After Democrats’ Midterm Blowout

America still has the blues. And apparently, so does Wall Street.

On Thursday, stocks fell faster than Trump’s approval rating after Democrats’ midterm domination sent investors into a panic over what a new political landscape could mean for the artificial intelligence industry.

According to NBC News, the Nasdaq 100 dropped 6.3%, “erasing $2.3 trillion in market value, as investors stepped back to evaluate new risks to the billions of dollars in investments that have poured into the AI sector.”

The S&P 500 wasn’t doing much better, falling 4.4% and wiping out another $2.8 trillion in market value. It was the market’s worst day since April 2025, when the president of people who still drink Shasta soda decided he understood how tariffs worked and implemented them anyway.

Naturally, Trump took to Truth Social to blame Americans for voting against high gas prices, expensive groceries, and the Republican Party. Because apparently, the stock market is also supposed to vote MAGA.

“The Stock Market suffered one of the Worst Days in History based on the results of the Election. Such a sad thing to watch!” Trump wrote. He went on to blame the “Dumocrats,” warned that 401(k)s had dropped and promised the country would soon be “BIGGER AND STRONGER THAN EVER BEFORE.”

But Wall Street’s problem isn’t simply that Democrats won. It’s how thoroughly they won and what that could mean for an industry that has spent years enjoying seemingly unlimited enthusiasm from investors and politicians.

Markets may have anticipated a Democratic victory, but apparently weren’t prepared for the scope of the blue wave, including upset victories such as Gov.-elect Gina Hinojosa in Texas, the country’s largest data center market.

And the political threat to Big Tech doesn’t stop there. Hundreds of candidates opposed to unchecked AI expansion have reportedly won office, raising the possibility of tougher regulations and greater scrutiny of the massive data centers powering the industry’s ambitions.

Democrats are also still looking to pick up Senate seats in Mississippi and Alaska.

Still, not everyone believes Thursday’s selloff signals the AI bubble is about to burst.

“I don’t think this is an AI bubble bursting,” Ed Yardeni, president of Yardeni Research, told NBC News. He described it instead as an AI bubble “losing some air, very, very rapidly.”

Translation: Wall Street may not be ready to abandon AI, but it is suddenly remembering that government regulation exists.

And after Tuesday’s election, so do Democrats. Apparently, the market just needed a reminder.

SEE ALSO:

Trump’s Administration Is About To Get A Congressional Reality Check

A Black Man Just Flipped A Mississippi County Named After KKK Founder