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How the US midterm elections could move 3 key types of ASX Stocks
US midterm elections could move three key types of ASX stocks, market analysts say.
Key points
- Polls favour the Democrats to reclaim the House, but the Senate contest is too close to call.
- Webull Securities Australia's Rob Talevski says a Republican win could lift markets, though gains could fade quickly.
- A split Congress would probably curb Trump administration spending, which markets often welcome.
Why it matters. A split Congress could curb spending and help cool inflation, but a debt-ceiling fight could rattle global equities, according to the article.
Democrats must flip four seats in both the House of Representatives and Senate to overturn narrow Republican majorities in the 3 November US midterms. Webull Securities Australia chief executive Rob Talevski says a Republican win could bring a Santa-rally-style bump, while Ebury economist Anthony Malouf says a Democratic House would ease deficit worries. A split Congress would probably curb Trump's spending, but could spark a bruising debt-ceiling fight next year.
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How the US midterm elections could move 3 key types of ASX Stocks
Donald Trump’s fight to retain control of Congress in the 3 November US midterms will carry direct consequences for Australian markets, whatever the outcome. Democrats must flip four seats in both the House of Representatives and Senate to overturn narrow Republican majorities. Polls favour the Democrats to reclaim the house, but the Senate contest is too close to call. Here’s how the vote could steer demand for renewables, deflate AI stocks and spark volatility, triggering ripples across Australian markets. Republican hold As Americans grapple with high living costs made worse by rising fuel prices, the chances of Republicans retaining both chambers of Congress have waned, polling suggests . If Trump’s Republicans were to prevail, market watchers expect an immediate bump on Wall Street that would lift markets around the world, including in Australia. Rob Talevski, chief executive of Webull Securities Australia, says maintaining control of Congress would pave the way for Trump to deliver signature fiscal stimulus, including a proposed $US5,000 payment to every adult American. “It’s going to be somewhat like a Santa rally, ‘Here’s your Christmas present’. We’re going to see markets rally on that,” says Talevski. But Talevski says any post-election sugar hit could quickly collide with the economic headwinds hitting the US and other advanced economies. “It would be short-term, and.