On November 6, 2026, the Tokyo stock market was dominated by heavy selling. The Nikkei Stock Average extended its losses from the opening, falling by 4,332.09 yen (approximately 7.1%) to 56,745.81 yen by the middle of the 10:00 a.m. hour. This marks the first time in about five and a half months—since May 20—that the index has dipped below the 60,000-yen mark during trading hours.

During the morning session on the Tokyo Stock Exchange’s Prime Market, 1,515 stocks—roughly 98% of the total—declined, and all 33 industry sectors saw losses. According to the Nikkei, the index had reached a record closing high of 72,366 yen on June 25; the current decline represents a drop of up to 20% from that peak.

The epicenter of the sell-off was the U.S. market the previous evening. On the 5th, the Nasdaq Composite Index closed down 5.52% at 24,315.00—the sharpest decline since the "Liberation Day" tariff shock of April 2025. The index has fallen approximately 11.9% from its record closing high of 27,599.89 on October 6, signaling an entry into a correction phase. The S&P 500 fell 4.36%, while the Dow Jones Industrial Average dropped 1,833.06 points.

The catalyst is reported to be the U.S. midterm elections held on the 3rd. The Associated Press has projected that the Democratic Party has secured a majority in both the House of Representatives and the Senate, though the final seat counts were still being tallied at the time of writing. CNN, NPR, and CNBC point to concerns regarding AI regulation and state-level restrictions on data centers as primary drivers. Senator Sanders has called for a nationwide moratorium on the construction of data centers, and the Democratic Party’s victories in states with high concentrations of data centers—such as Texas—have also been cited as contributing factors. However, the election does not appear to be the sole reason for the sell-off. The Wall Street Journal reported that the decline was driven by disappointment over Qualcomm’s earnings and a rotation of capital away from the AI ​​sector. Additional headwinds included higher-than-expected initial jobless claims, caution ahead of the U.S. October employment report (due later today), and speculation regarding further interest rate hikes by the Federal Reserve.

Crypto assets were no exception. Between the evening of the 5th and the early hours of the 6th (Japan Standard Time), the price of Bitcoin fell from over $80,800 to a low in the mid-$75,000 range. This marked its lowest level in about seven weeks—since September 16—effectively erasing the gains seen following the election.