US Stock Market Daily Briefing: Fear and Greed Index and Market Conditions
On Thursday, November 5, the U.S. stock market experienced its worst day of 2026, with the Dow plunging about 1,800 points amid heavy selling in AI-related stocks. The Nasdaq has entered correction territory, and the CNN Fear & Greed Index remains in the "Extreme Fear" zone, reflecting deeply depressed investor sentiment.
US Market Daily Briefing — 2026-11-06
Fear & Greed Index
The CNN Fear & Greed Index has recently remained in the "Extreme Fear" zone. As of November 4, the index value was recorded at 19, indicating that market participants are exhibiting very high risk-aversion tendencies. The index ranges from 0 (maximum fear) to 100 (maximum greed).

Market Core Summary
- S&P 500: Recorded its worst daily decline since April on November 5 due to tech stock weakness.
- NASDAQ: Entered "correction" territory, falling more than 10% from its peak following the collapse of the AI trade.
- Dow Jones: Plunged by about 1,800 points on November 5, marking its largest single-day drop so far in 2026.

Key Market Drivers and Macro Environment
- AI Industry Regulation Concerns and Semiconductor Sell-Off: Following the Democrats' victory in taking control of Congress in the midterms, speculation that Congress would strongly regulate the artificial intelligence (AI) industry triggered massive selling in tech and semiconductor stocks.
- Fed Rate Hike Outlook: The release of certain economic data revived speculation that the Federal Reserve could raise interest rates in December, acting as downward pressure on the market.
- Falling Oil Prices and Geopolitical Variables: The Democrats' election victory highlighted anti-war sentiment regarding Iran, causing oil prices to plummet. This drove bond prices higher and weakened the dollar, but failed to offset the overall volatility in the stock market.

Market Expert Outlook
- Accelerated Sector Rotation: Investors are shifting capital out of technology stocks and into defensive sectors, while the market demands tangible returns on AI investments.
- Scrutiny of AI Buildout Costs: Close examination by the market and analysts regarding the scale of AI infrastructure investments by big tech companies like Microsoft continues, heightening volatility in the semiconductor sector.
- Mixed Wall Street Views: Recent analyst reports have featured more downgrades than upgrades, with a cautious outlook prevailing and fortunes diverging among individual stocks within the tech sector.
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