Democrats sweep midterm elections, triggering market rout in tech stocks

U.S. voters delivered a historic rebuke to President Trump in midterm elections held on November 3–4, 2026, with Democrats gaining control of both the House and Senate. The Democratic sweep has rattled markets, particularly AI and data center stocks, as investors assess potential regulatory risks under renewed Democratic oversight.

Asian and European equities declined on the outcome, with concerns mounting over future technology policy shifts. The dollar weakened sharply as investors repositioned portfolios amid geopolitical uncertainty tied to the Iran conflict, which Trump acknowledged contributed to Republican losses.