Could Thursday’s historic Wall Street selloff be the beginning of another decade-long bull market like the one that started in 1896?

On November 5, the Dow plunged 3.4%, its worst second trading day after a midterm election in records dating back to 1896. The Nasdaq fell 5.5%, the S&P 500 dropped 4.4%, and semiconductor stocks suffered their second-worst daily decline on record. The AI trade is suddenly under pressure, with investors questioning enormous data-center spending, future profits and the valuations attached to the biggest technology companies.

There is a historical comparison worth watching. In August 1896, the Dow stood at 28.48. Over the following decade, it climbed to 103.00 by January 1906, a gain of 261.6%. That bull market began during a period of deep economic and political uncertainty. Investors who bought near the 1896 low and held through the decade saw extraordinary returns.

The comparison is not a prediction. The 1896 rally also had painful corrections, and after reaching 103 in 1906, the Dow eventually fell to 53 during the Panic of 1907, a decline of nearly 49%. That history cuts both ways.

Could today’s AI selloff eventually look like one of those rare entry points before another long bull market? It’s possible. But investors still have to determine whether AI companies can turn their enormous spending into earnings, and whether today’s valuations already assume too much.

Maybe November 2026 will be remembered as an early buying opportunity. Maybe it will be remembered as the beginning of a much deeper correction. The 1896 comparison makes the question worth asking, not the answer certain.

https://finance.yahoo.com/markets/article/chip-stocks-slaughtered-as-wall-street-suffers-worst-post-midterm-day-since-1896-213204256.html

Not financial advice.