Markets reverse post-election rally in tech sell-off

If yesterday was the post-election party, Thursday was the hangover. Markets erased Wednesday’s strong gains as investors continued to digest the Democratic sweep of Washington: the S&P -4.36%, the Nasdaq -5.52%, the Dow -3.46% and the TSX -2.03%. Bearing the brunt were AI stocks as the market perceives a slowdown in the AI data centre build and weakening demand for computer chips. Nvidia plunged 9.26%, Intel slid 10.33% and Sandisk cratered 22.26%. Meanwhile, Tesla plunged 10.77% though AppLovin soared 10.69% after reporting a strong beat. Bitcoin fell 5.55% to US$75,695 while the U.S. 10-year yield decreased to 4.839%.

In Toronto, only three sectors rose, led by telcos, while tech, financials and discretionary tumbled the most. WTI regained nearly 3% to US$4,090 as the markets wait to see if Trump extends an olive branch to Iran or resumes fighting. Major movers on Bay Street included Suncor down 4.06%, Gildan sliding 18.86% and Russel Metals plunging 13.62%, though telcos Telus gained 2.33% in heavy trading and BCE rallied 4.58%. The metals were mixed: silver slipped 0.75% to US$51.70 though gold advanced US$29 to $4,090.

💾 NVIDIA Corporation (NVDA) -9.26%

💾 Intel (INTC) -10.33%

💾 Sandisk Corp (SNDK) -22.26%

🚗 Tesla Inc (TSLA) -10.77%

💾 AppLovin Corporation (APP) +10.69%

🅱 Bitcoin (BTCUSD) (BTC-USD) -5.55%

🛢 Suncor Energy Inc (SU.TO) -4.06%

👕 Gildan Activewear Inc. (GIL.TO) -18.86%

⛓ Russel Metals (RUS.TO) -13.62%

📱 Telus Corp (T.TO) +2.33%

📱 BCE Inc. (BCE.TO) +4.58%