Global stocks tumble as AI panic grips markets after Democrats' midterm success

Global markets fell sharply after the Democratic Party's midterm election success raised fears of tighter tech regulation and a slowdown in AI investment, with more than $3.2tn wiped off the US stock market. The Nasdaq fell 5.5%, the Dow Jones dropped 1,833.06 points (3.44%) and the S&P 500 lost 4.36%, while Japan's Nikkei slumped almost 6%, South Korea's KOSPI fell 6.7% and Taiwan's TAIEX dropped 4.5%. Analysts cited policy uncertainty over data centres and disappointing Magnificent Seven earnings, and Donald Trump blamed the Democrats for the selloff on Truth Social.