By Fatma Younis
Global stock markets fell sharply on Friday as a sell-off in U.S. technology shares spread overseas, driven by fears that Democratic gains in the midterm elections will bring tighter regulation of artificial intelligence and data centers.
Nasdaq suffers worst day in 19 months
The Nasdaq index slumped 5.5% on Thursday, its steepest single-day drop in 19 months, as investors reacted to the prospect of stricter rules for the AI industry. Susannah Streeter, chief investment strategist at Wealth Club, warned that a slowdown in data-center construction could undermine the spending boom that has fueled the sector's rally.
Israeli president delays decision on government formation
Israeli President Isaac Herzog said he would announce on Sunday which candidate — incumbent Benjamin Netanyahu or rival Gadi Eisenkot — would get the first chance to form a government after this week's election deadlock. Eisenkot secured endorsements from a majority of lawmakers on Thursday.
Trump moves to preserve Oval Office redesign
President Donald Trump signed a proclamation declaring his redesign of the Oval Office and Cabinet Room national monuments, aiming to prevent future alterations. A federal judge also halted construction of a planned triumphal arch in Washington for 14 days.
Tech giants sue California over child addiction law
Google, Meta, and TikTok filed lawsuits to block Assembly Bill 1709, a new California law that prohibits platforms from offering children “psychologically exploitative features.” The state attorney general's office said it would defend the law.
Paraguay president resigns amid banking crisis
Right-wing President Santiago Peña resigned Thursday after the collapse of Ueno Bank, which held accounts for 60% of the adult population. The central bank ordered the lender's resolution, freezing 3 million accounts and sparking mass protests.
Other developments
Russell Brand was convicted of rape and assault in London and faces sentencing on Monday. Billionaire Leon Black sued Congressman Robert Garcia for defamation over Epstein ties. Nithya Raman won the Los Angeles mayoral race. Governor Gavin Newsom commuted over 500 death sentences. Amtrak's union opposed a plan to allow guns on trains. Salon, an early internet publication, announced its closure. A study found the world's wettest rainstorms are becoming more intense. Peruvian customs seized over 3,000 tarantulas hidden in dirty socks.
