Who is to blame for the stock market crash? Trump: It’s the Democrats who won the election

U.S. President Trump posted a post on social media, blaming Thursday's massive sell-off in U.S. stocks on the Democratic Party's victory in the midterm elections. (AP)

[Financial Channel/Comprehensive Report] All four major U.S. stock indexes closed down on Thursday (5th), with technology stocks suffering relatively severe losses. U.S. President Trump posted a message on social media, blaming the massive selling pressure on U.S. stocks on Thursday on the Democratic Party’s victory in the midterm elections.

Trump warned in a post on the social platform Truth Social that the stock market plunge has had an impact on Americans' retirement savings. "Based on the results of this election, the stock market had one of the worst trading days in history," Trump wrote.

He went on to say: "It's so sad to see this situation! We have worked so hard to get the market to unprecedented heights, and then this happens." "So your 401(k) retirement accounts are all down."

Trump lashed out at Democrats, blaming Thursday's stock market decline solely on their electoral victories, which included Democrats winning control of the House of Representatives and the Senate.

Trump wrote in the article: "Remember, this is not the fault of the Republican Party, but the responsibility of the Democratic Party." He also said: "But don't be afraid, no matter what, we will soon be stronger and stronger than ever."

The U.S. stock market fell sharply on Thursday, with the Dow Jones Industrial Average falling 1,833.06 points, or 3.44%, to close at 51,523.06 points. The S&P 500 index fell 334.89 points, or 4.36%, to close at 7353.73 points. The Nasdaq index fell 1,421.51 points or 5.52% to close at 24,315.00 points. The Philadelphia Semiconductor Index fell 1,257.52 points, or 12.25%, to close at 9,011.14 points.

Part of this wave of selling pressure comes from sharp declines in technology stocks and artificial intelligence (AI) concept stocks, as investors assess the impact that the Democratic Party may have on AI regulation and data center development after winning the election.

Jakub Rochlitz, a market analyst at eToro, an online investment trading platform, said: "The obvious trigger for this sharp sell-off in the stock market is that the market is digesting the impact of the midterm election results."

In addition to the election results, investors are also worried about the sheer scale of borrowing and spending required to fuel the AI boom. In particular, as technology companies continue to expand data centers, energy costs continue to rise, and future investment returns are still full of uncertainty, which has deepened market doubts.