Nvidia shares dropped 3.2% Wednesday, Nov. 4, as investors weighed high AI-stock valuations and whether Texas election results could slow U.S. data-center expansion, the Associated Press reported.
AMD said its third-quarter Data Center revenue reached $8.5 billion, 97% above the year-earlier quarter. The company attributed the increase to strong demand for EPYC processors and the launch of its Instinct MI450 Series GPUs. Intel reported $7.3 billion in Data Center and AI revenue, a 78% annual increase, and cited demand for its Xeon family.
The AP's market report said investors were especially concerned about Texas, where Democrats won the governor’s race. It linked the election result to investor concerns about the pace of future data-center projects. Democrats also won Ohio’s gubernatorial race, AP reported in its election coverage.
That coverage said state governments can shape data-center policy. Legislative sessions in 2027 could consider measures to rein in development and ask utilities and developers to help limit electricity-bill increases.
AP’s market report also described pressure across AI-related shares, as investors questioned whether prices had climbed too high. CoreWeave fell 9.9% in the report’s market snapshot, while First Solar was up 4.6% and Enphase Energy gained 3.7%.
The AP also noted that U.S. stocks have often risen in the months after midterm elections, regardless of which party won.
The 2027 legislative sessions are the next policy marker identified in AP’s coverage, with possible proposals addressing both data-center development and electricity costs.
