AI Selloff Deepens: Nvidia, Dell, and Data Center Stocks Tumble—Buy the Dip or Wait?

AI stocks plunged for a second straight day Thursday, with Nvidia down 6% and Dell falling 9%, dragging the broader S&P 500 down 1.5% as fears over post-midterm data-center regulation intensified. The selloff follows Wednesday's Democratic sweep, which raised concerns about construction pauses and oversight. UBS estimates nearly a third of 2028 U.S. data-center capacity could be delayed. Optical-networking, builder, and server stocks fell 7-13%, erasing billions in market value. Even strong earnings failed to help, as Viavi Solutions crashed 18% despite a 57% revenue jump and raised outlook. Analysts suggest the market is pricing in political risk broadly, potentially creating opportunities but also signaling further volatility if regulatory news worsens.