Global stock markets recorded predominantly negative performance on November 5. All major indices in the United States declined sharply, mixed results were observed in Europe, while declines prevailed in the Asia-Pacific region, APA-Economics reports.
In the United States, the Dow Jones index fell by 1,833.06 points, or 3.44%, to 51,523.06 points. The S&P 500 index declined by 334.89 points, or 4.36%, to 7,353.73 points, while the Nasdaq Composite index dropped by 1,421.51 points, or 5.52%, to 24,315.00 points.
The NYSE Composite index decreased by 2.96% to 23,955.97 points, while Canada's S&P/TSX Composite index fell by 2.03% to 35,605.27 points.
Mixed performance was recorded in European stock markets. The Euro Stoxx 50 index declined by 0.55% to 6,231.54 points, while the UK's FTSE 100 index fell by 0.43% to 10,782.66 points.
Germany's DAX index decreased by 0.43% to 26,325.01 points. France's CAC 40 index rose by 0.34% to 8,205.37 points, while Spain's IBEX 35 index increased by 0.59% to 19,486.00 points.
Major indices also declined in the Asia-Pacific region. Japan's Nikkei 225 index fell by 3,876.14 points, or 6.35%, to 57,201.76 points, while the TOPIX index dropped by 246.92 points, or 6.27%, to 3,693.47 points.
Hong Kong's Hang Seng index declined by 1.06% to 24,533.33 points, while China's CSI 300 index decreased by 1.48% to 4,052.48 points.
Australia's S&P/ASX 200 index fell by 0.83% to 8,990.10 points. The broader regional MSCI AC Asia Pacific index declined by 0.10% to 255.46 points.
According to analysts, one of the main reasons for the sharp decline in stock markets was increased selling pressure in the technology and artificial intelligence sectors. Concerns among investors intensified over the possibility of increased regulatory restrictions on data center construction and artificial intelligence in the United States following the midterm elections.
In addition, doubts about the profitability of large investments in artificial intelligence projects and the financial performance of some semiconductor manufacturers created additional pressure on technology stocks. As a result, selling spread to other sectors.