US Stock Futures Mixed After AI Sell-Off as Investors Await Jobs Report: Dow Jones, S&P, Nasdaq, Wall Street
US stock futures were mixed on Friday, November 6, as investors assessed the consequences of a sharp technology-led market sell-off following the Democratic Party’s gains in the US midterm elections, while awaiting employment figures that could influence the Federal Reserve’s next interest-rate decision.
The decline in artificial intelligence-related stocks wiped an estimated $2.5 trillion from the Nasdaq Composite’s market value on Thursday, with semiconductor manufacturers, data centre developers and electricity providers among the hardest-hit sectors.
Shares in Tesla (NASDAQ:TSLA) and SpaceX (NASDAQ:SPCX) recorded substantial losses, while questions emerged over the potential valuation of a planned initial public offering by artificial intelligence company Anthropic (NASDAQ:ANT).
Investors were also monitoring developments in global energy markets, where oil prices remained volatile amid renewed attacks on vessels in the Middle East.
US Stock Futures Stabilise After Technology Sector Rout
US stock index futures showed mixed movements in early trading on Friday following Thursday’s sharp decline on Wall Street.
At 03:00 ET (08:00 GMT), Nasdaq 100 futures had gained 232 points, or 0.9%, suggesting a partial recovery in technology shares.
S&P 500 futures were largely unchanged, while Dow Jones futures declined by 534 points, equivalent to 1%.
The movements followed a substantial sell-off in US equities as investors reassessed the outlook for artificial intelligence companies following the midterm election results.
The Nasdaq Composite experienced one of its largest daily declines since March 2020, with an estimated $2.5 trillion erased from the index’s market capitalisation.
Selling pressure extended beyond technology companies, with the S&P 500 falling 4.36% and the Dow Jones Industrial Average losing 3.44%.
Market volatility also increased sharply, with a widely followed volatility indicator recording its largest daily rise since President Donald Trump’s “Liberation Day” tariff announcements in April 2025.
Global Equity Markets Decline as AI Concerns Spread
The sell-off extended into international markets, with Asian and European equities recording significant losses.
The MSCI Asia Pacific index experienced its largest decline since 2025, while Japanese stocks fell sharply.
Taiwan’s principal equity benchmark entered bear market territory, reflecting substantial losses among technology-related companies.
In South Korea, heavy selling triggered a market circuit breaker, temporarily interrupting trading as investors reduced exposure to semiconductor manufacturers.
South Korean chipmakers SK Hynix and Samsung Electronics, which have benefited from strong demand associated with artificial intelligence infrastructure, were among the companies exposed to the broader market downturn.
European markets also opened lower, with the pan-European STOXX 600 declining as technology shares came under pressure.
Joe Maher, Markets Economist at Capital Economics, attributed the sell-off to growing doubts about the outlook for artificial intelligence investment following the political changes in Washington.
“Growing fears about the sustainability of the AI buildout, alongside the significant shift in US politics, have contributed to another difficult session for technology shares,” Maher said.
He added that it remained uncertain whether the election results would mark a turning point for the AI-driven equity rally, although the latest developments reinforced the firm’s view that the boom may be approaching its later stages.
Tesla and SpaceX Shares Plunge, Reducing Elon Musk’s Wealth
Companies associated with Elon Musk were among the most prominent casualties of Thursday’s technology sell-off.
Electric vehicle manufacturer Tesla (NASDAQ:TSLA) fell 11%, extending its decline since the beginning of 2026 to approximately 24%.
SpaceX (NASDAQ:SPCX), which completed a major stock market listing earlier in the year, dropped 9%.
According to calculations reported by Bloomberg News, the combined decline erased approximately $460 billion from the market value of the two companies.
Musk’s personal fortune fell by an estimated $71 billion to $793 billion at one stage during the session, although he remained the world’s wealthiest individual, according to Bloomberg.
The losses coincided with political developments in Texas, where both Tesla and SpaceX are headquartered.
Gina Hinojosa, the state’s Democratic governor-elect, has pledged to introduce a moratorium on data centre development.
James Talarico, who won a US Senate seat in Texas for the Democrats, has also criticised Musk’s substantial financial support for Republican opponent Ken Paxton.
The political changes have raised questions about the regulatory environment facing technology and infrastructure companies operating in the state.
Investors Question Anthropic’s Proposed $1.5 Trillion IPO Valuation
The technology market downturn has also prompted questions about the potential valuation of artificial intelligence developer Anthropic (NASDAQ:ANT).
The company behind the Claude AI platform has reportedly been considering an initial public offering during the week before Thanksgiving.
The proposed transaction could raise as much as $100 billion at an estimated valuation of approximately $1.5 trillion.
However, according to The Wall Street Journal, three major investors planning to participate in the offering have expressed concerns about whether that valuation remains achievable following the recent market decline.
One investor suggested that Anthropic’s valuation could potentially fall to approximately $1 trillion.
Other investors reportedly prefer to review the company’s October financial performance before making substantial changes to their valuation expectations.
The Wall Street Journal reported that Anthropic’s annualised revenue measure exceeded $80 billion at the end of October.
The company could also consider raising less capital than initially anticipated, while some investors have questioned whether the offering might be postponed until market conditions improve.
The uncertainty illustrates how the sharp correction in publicly traded AI-related companies could influence investor appetite for major technology listings.
US Employment Report Could Influence Federal Reserve Policy
Investors are also awaiting the latest US employment figures, which could influence expectations for the Federal Reserve’s December monetary policy meeting.
Economists expect the US economy to have added approximately 65,000 jobs in October, compared with 29,000 in September.
The unemployment rate is forecast to remain unchanged at 4.2%.
A stronger-than-expected labour market could support the case for another interest-rate increase as the Federal Reserve seeks to contain persistent inflation.
However, the sharp decline in technology stocks has introduced additional uncertainty over whether policymakers will proceed with further monetary tightening.
Analysts at Deutsche Bank noted that renewed concerns surrounding artificial intelligence had raised fresh doubts about the likelihood of another rate increase.
Market expectations for a December hike weakened following Thursday’s equity sell-off.
The employment report will therefore be closely watched for indications of whether the US labour market remains sufficiently resilient to support tighter monetary policy.
Oil Prices Volatile as Middle East Tanker Attacks Continue
Global oil prices remained volatile as renewed attacks on commercial vessels in the Middle East raised concerns about potential disruptions to energy supplies.
Brent crude futures gained almost 4% on Thursday, while US West Texas Intermediate crude rose 2.7%.
The rebound followed substantial losses on Wednesday, when both benchmarks fell more than 8% to their lowest closing levels since August 31.
The earlier decline came as the US midterm election results encouraged expectations of renewed diplomatic efforts to resolve the conflict involving the United States, Israel and Iran.
Despite Thursday’s recovery, both crude benchmarks remained on course for significant weekly losses.
Security risks in regional shipping routes continued to complicate the outlook.
According to the United Kingdom Maritime Trade Operations (UKMTO), at least five vessels have reported incidents since Sunday.
The frequency of attacks has approached the levels recorded in October, when 35 vessel incidents were reported.
Iran’s Islamic Revolutionary Guard Corps stated that two oil tankers and a tugboat caught fire in separate incidents after attempting to use unauthorised routes through the Strait of Hormuz.
Saudi Arabia also warned of potential dangers near Yanbu, its Red Sea oil export hub, as Yemen’s Iran-aligned Houthi militants continued attacks against the kingdom.
Investors Face Multiple Risks Ahead of US Economic Data
The combination of falling technology valuations, changing political expectations and continued geopolitical instability has created a challenging environment for global financial markets.
The recent decline in AI-related stocks has raised questions about the sustainability of investment spending and the valuations of companies benefiting from the technology’s expansion.
At the same time, the upcoming US employment report could influence expectations for interest rates and the broader economic outlook.
Investors will also continue to monitor developments in the Middle East, where supply disruption risks remain significant despite the recent decline in oil prices.
The direction of financial markets will depend partly on whether technology shares stabilise, whether employment data support further Federal Reserve tightening and whether diplomatic efforts can reduce tensions affecting global energy supplies.
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