Why US Stocks Fell and the VIX Spiked Today — November 5, 2026

Verified November 5, 2026, at 4:25 p.m. Eastern Standard Time (EST, UTC−05:00; 21:25 UTC).

US stocks fell sharply on Thursday, November 5, as a sell-off in artificial intelligence and chip companies spread across the market. The Nasdaq Composite dropped 5.52%, the S&P 500 lost 4.36%, and the Dow Jones Industrial Average fell 3.44%. The decline more than erased the broad market’s post-election gain from the previous session.

Investors were already questioning the cost and potential returns of AI infrastructure. The midterm election results added uncertainty about whether data-center construction could face greater scrutiny or delays, although no single event can be established as the sole cause of the sell-off. Options-based volatility jumped as traders priced in larger potential S&P 500 swings.

Destaques

• The Nasdaq Composite ended at 24,315.00, while the S&P 500 finished at 7,353.73.
• The small-company Russell 2000 fell 4.45%, indicating that weakness extended beyond major technology stocks.
• The supplied delayed VIX reading rose to 28.16 from 16.61; it was a post-close snapshot, not an independently confirmed final VIX close.
• Friday’s October employment report, scheduled before the next US stock session, is the next major data event to watch.

How much did the Nasdaq, S&P 500 and Russell 2000 fall?

The following figures compare November 5 with the immediately preceding valid daily close. The Nasdaq, S&P 500 and Dow closing levels were independently corroborated by Associated Press market reporting. Russell 2000 and VIX figures are from the supplied delayed Yahoo Finance data and could not be independently confirmed at the time of verification.

The VIX observation was timestamped 4:10 p.m. EST, while the stock indexes reflect the regular session close. Because Cboe calculates the VIX beyond the 4:00 p.m. stock-market close, the supplied reading should not be treated as a confirmed final daily VIX value. Index levels and percentages are rounded.

The Nasdaq’s larger decline is consistent with the pressure on technology and AI-related companies. The Russell 2000’s reported loss also shows that smaller companies were caught in the downturn; it does not, by itself, explain why their shares fell.

Why did AI and chip stocks fall?

The clearest observed driver was selling in companies connected to the AI buildout. The Associated Press reported that Nvidia fell 9.3% and Advanced Micro Devices dropped 17.3%. Nvidia’s size gives its moves substantial weight in the S&P 500, so weakness in a large company can pull the index lower even as individual stocks elsewhere move differently.

That selling developed against an existing debate about how quickly data centers can expand, the cost of financing them and whether AI-related share prices already reflect very high expectations. The election added another possible pressure point: Democratic gains raised the prospect of more scrutiny or pauses for data-center projects. A change in political control, however, is not itself proof that a particular project will be halted or that future chip demand will decline.

Oil also rebounded after a steep drop the previous day, with Brent crude rising 3.9%, according to AP. Higher energy costs can complicate the inflation outlook, but the available evidence does not establish how much of Thursday’s stock decline was caused by oil rather than AI concerns or other factors.

Why did the VIX jump?

The Cboe Volatility Index uses S&P 500 option prices to estimate expected volatility over approximately the next 30 days. A higher reading reflects a higher level of volatility implied by those options; it is not a forecast that stocks must fall by a specific percentage or move in one direction.

The supplied increase from 16.61 to 28.16 was 11.55 index points, or approximately 69.54%. That percentage describes the change in the index reading itself. The reading is annualized and should not be interpreted as a predicted 28% move over the next month.

What could move US stocks in the next session?

The next regular session is Friday, November 6. The Bureau of Labor Statistics schedule lists the October employment report for 8:30 a.m. EST in Washington, DC (UTC−05:00), or 13:30 UTC, before US stock trading begins. Payroll growth, unemployment and wage figures can influence expectations for interest rates, but the market’s response will depend on the details and how they compare with expectations.

• Bull case: If the jobs data supports confidence in the economy without materially worsening inflation concerns, and AI shares stabilize, buyers could attempt a rebound.
• Base case: If the report sends mixed signals, indexes could remain volatile as investors reassess rates and AI spending. Intraday swings need not establish a lasting trend.
• Bear case: If the data raises fears of economic weakness or persistent inflation, or selling in major chip shares resumes, the pressure could spread further.

These are conditional scenarios, not predictions or price targets. Friday’s opening reaction may also differ from the eventual close, particularly after a session with such large moves. This article is an explanation of market events, not investment advice.

FAQ

Did all US stocks fall on November 5?

No. The major indexes declined sharply and losses were broad, but individual stocks moved in both directions.

Does a higher VIX mean stocks will fall tomorrow?

No. It signals higher option-implied expectations for S&P 500 volatility, not a guaranteed direction for the next session.

When is the next US jobs report?

The October report is scheduled for November 6, 2026, at 8:30 a.m. EST in Washington, DC (13:30 UTC).