US President Donald Trump blamed Democrats for Wall Street's sharp sell-off following the 2026 midterm elections, claiming the market's decline had wiped out gains in Americans' retirement savings, while insisting the economy would soon recover.
In a post on Truth Social on Thursday, Trump described the stock market's performance as one of the worst days in history, attributing the losses to the election results that handed Democrats control of Congress.
“The Stock Market suffered one of the Worst Days in History based on the results of the Election. Such a sad thing to watch!” Trump wrote, adding that the market had taken considerable effort to reach unprecedented levels before the downturn.
Deep Dive
Why did US stocks fall after the 2026 midterm elections?
How much did the major US stock indexes fall after the midterms?
What did Trump say about the market drop and Americans’ 401(k)s?
“Your 401(k)s have, therefore, dropped. Remember, it wasn’t Republicans, it was Dumocrats,” he said, using a derogatory spelling of Democrats.
{{/usCountry}}“Your 401(k)s have, therefore, dropped. Remember, it wasn’t Republicans, it was Dumocrats,” he said, using a derogatory spelling of Democrats.
{{/usCountry}}Trump sought to reassure investors despite the losses, writing: “Do not fear, however, we will soon, one way or the other, be BIGGER AND STRONGER THAN EVER BEFORE.”
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Trump blames election outcome for market losses
The remarks came after a sharp reversal on Wall Street on Thursday, November 5, following an initial rally after the midterm results.
According to the Associated Press, the S&P 500 dropped 4.4% to 7,353.73, marking its steepest decline since the April 2025 tariff-related market sell-off. The Dow Jones Industrial Average fell 1,833 points, or 3.4%, while the Nasdaq Composite plunged 5.5%.
The downturn wiped out gains recorded during Wednesday's session, when investors initially welcomed the election outcome and the prospect of a divided government.
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Trump claims he would have delivered a Republican landslide
In a separate Truth Social post, Trump suggested Republicans would have performed significantly better had he personally been on the ballot.
“I JUST WASN’T ON THE BALLOT. IF I WERE, WE WOULD HAVE WON IN A LANDSLIDE!” he wrote.
Democrats secured control of both chambers of Congress in the midterm elections, marking a significant setback for Trump and Republicans as the administration enters the second half of his presidential term.
The election outcome is expected to reshape congressional oversight and debates over the administration's economic, immigration and domestic policy priorities.