AI Matters

Why it matters

Nasdaq falls 5.5% as investors bet on tougher AI rules after midterms

The Guardian AI Nasdaq sees worst day in 19 months as investors bet on AI slowdown after Democrats’ election triumph

The Nasdaq dropped 5.5% on Thursday, its worst day in 19 months, erasing nearly $2 trillion in value amid expectations of stricter AI regulation after Democratic election wins.

Why it matters

Retirement and investment accounts holding tech stocks lost value, and tighter limits on data centers could slow new AI products.