Tech Sell-Off Triggers Sharp Plunge in US and Canadian Markets
US and Canadian stock indices plummeted Thursday as a massive technology sector sell-off reversed record gains following the US midterm elections.
North American stock markets experienced a sharp decline on Thursday, November 5, 2026, reversing record gains seen the previous day after Democrats secured control of the US Congress. The Nasdaq Composite was the hardest hit, plunging 5.52 percent to 24,315.00, while the Dow Jones Industrial Average dropped 3.44 percent to 51,522.58 and the S&P 500 fell 4.35 percent to 7,353.80.
In Canada, the S&P/TSX composite index fell by 736.13 points to 35,605.27, driven primarily by losses in the technology sector. While Asian benchmarks in India, Australia, and Hong Kong surged, markets in South Korea and Taiwan also suffered steep losses alongside the North American downturn.
Analysts attributed the volatility to a massive sell-off in technology stocks that spread into the broader market. Keith Lerner of Truist Wealth noted that the size of the tech sell-off began feeding into the wider market, suggesting that the rubber band was becoming increasingly stretched. In other markets, the US dollar strengthened against most major currencies, though the Japanese yen and Swiss franc remained resilient. Crude oil and gold contracts rose, reaching US$90.52 per barrel and US$4,113.50 per ounce, respectively.
