Data center stocks plunge on Texas election result
US tech stocks fell sharply after Democrat Gina Hinojosa won the Texas governor race, defeating Republican incumbent Greg Abbott.
Artificial intelligence and data center stocks slumped overnight following Hinojosa's victory in the Texas gubernatorial election. The Nasdaq-100 futures dropped 0.8%.
Tech sector shares fell 2% on Robinhood. Data centre companies suffered larger losses.
CoreWeave fell 7%, Nebius dropped 4%, SpaceX declined 6%, and Oracle fell 4%. Hinojosa has publicly backed a moratorium on new AI data centres.
Texas hosts 27% of all planned US data centre capacity, making it crucial to tech expansion plans. Democrats were projected to win or keep the governorships in Georgia, Pennsylvania and Ohio.
Georgia represents 7% of all planned US datacenter gigawatts, while Ohio and Pennsylvania account for 5% apiece.
- 27% of planned US capacity
- Texas data center share
- 0.8%
- Nasdaq-100 futures drop
- Texas
- Contested state
- 17% of planned data centre build-outs
- Democratic gains elsewhere
Why it mattersPolitical opposition to data centres could slow AI infrastructure expansion and reshape where tech companies build next-generation facilities.
AustraliaAustralian investors with US tech holdings and superannuation in growth funds may see portfolio values shift due to these stock movements.
✓ Claims checked against the source and corrected before publish. checked 5 h ago
