StocksMedium•5 November 2026•
1 min read
Russell 2000 Drops 4.4% as AI Infrastructure Sell-off Hits Small Caps
Key Facts
1The Russell 2000 small-cap index dropped 4.4% to close at 2,729.89.
2The decline was driven by heavy selling in stocks linked to AI data-center construction and concerns over possible moratoriums.
The Russell 2000 small-cap index dropped 4.4% to close at 2,729.89 on November 5, 2026. Associated Press reported that the decline erased much of the previous day's advance, with the index falling 127.06 points from its prior close of 2,856.95.
The decline was driven by heavy selling in stocks linked to AI data-center construction and concerns over possible moratoriums. Associated Press noted that investor anxiety centered on potential restrictions on data center projects following Democratic victories in the US midterm elections, pressuring small-cap firms exposed to technology infrastructure.