Global Sharemarkets Plunge After US Midterms
Wall Street indexes tumble while Australia's ASX 200 holds up comparatively well, as Macquarie's longtime chief prepares to step down.
Updated on Nov. 6, 2026 in Stock Markets
Live Poll
Do you think now is a bad time to invest given recent market swings?
Global sharemarkets plunged following the US midterm elections, with the Dow Jones falling 3.5 per cent and the Nasdaq sliding 5.5 per cent into correction territory. Australia's ASX 200 held up comparatively well during the sell-off.
Why it matters
The sharp drop in major US indexes ripples across global markets, affecting investors' portfolios worldwide. The divergence between US and Australian performance highlights how regional markets can respond differently to the same shock.
The Dow Jones fell 3.5 per cent and the Nasdaq slid 5.5 per cent into correction territory, a decline of 10 per cent or more from recent highs. The source does not provide exact index levels or the trading session timing of the sell-off.
The players
Shemara Wikramanayake
Chief executive of Macquarie Group who is stepping down after eight years leading the bank and nearly 40 years with the firm.
The details
The sell-off followed the November 6, 2026 US midterm elections and affected major American indexes most sharply, while Australia's ASX 200 fared better. Investors across markets reacted to the political outcome, though the source does not detail the specific election results driving sentiment.
Timeline
- November 6, 2026: Global sharemarkets plunge following the US midterm elections.
Market Dynamics
The Nasdaq's slide of 5.5 per cent into correction territory marks a decline of at least 10 per cent from recent highs, the conventional threshold separating a correction from a routine pullback. The Dow's 3.5 per cent fall shows the sell-off extended beyond technology-heavy indexes.
Investors holding US equity index funds or Nasdaq-heavy portfolios saw immediate losses from the sell-off. Retirement and brokerage accounts with US tech exposure may show the decline in their balances.
The takeaway
Diversification across regional markets can soften the impact of a sharp drop in one country's indexes. Reviewing exposure to US technology stocks may help investors gauge how much of their portfolio is tied to a single market.
Further reading
Track the latest moves in the Stock Markets section for broader context on this sell-off.
Source note: This article includes information reported by SBS.
Live Poll
Do you think now is a bad time to invest given recent market swings?
