Global Markets:
● Asian Stock Markets : Nikkei down 4.17%, Shanghai Composite down 0.10% Hang Seng down 0.13% ASX down 0.83%
● Commodities : Gold at $3,959.52 (0.49%) Silver at $49.472 (0.56%), Brent Oil at 102.88 (-0.70%), WTI Oil at 95.29 (-0.85%)
● Rates : US 10-year yield at 4.901, UK 10-year yield at 5.2688, Germany 10-year yield at 3.3101
News & Data:
● (USD) JOLTS Job Openings
7.52M to 7.51M expected
Markets Update:
U.S. stock futures declined Tuesday evening as investors reacted to the possibility of Democrats gaining control of Congress in the 2026 midterm elections, raising concerns about potential restrictions on artificial intelligence infrastructure spending.
Futures tied to the S&P 500 fell 1.2%, while Nasdaq-100 futures dropped 2%. Dow Jones Industrial Average futures declined 412 points, or 0.8%.
Betting market Kalshi showed the odds of Democrats controlling the Senate rising above 99%, while the probability of Democratic control of the House also reached 99%. CNBC’s Election Desk projected Democrats would win the House, with the party also positioned to gain control of the Senate.
Investors are particularly concerned that a Democratic majority could introduce stricter regulations on data centers, potentially slowing AI infrastructure expansion. Technology giants Microsoft, Amazon and Nvidia traded lower in extended trading, while CoreWeave and SpaceX each fell approximately 6% in overnight trading.
Meanwhile, Advanced Micro Devices initially surged following stronger-than-expected third-quarter earnings and revenue, but its gains narrowed to around 3% as futures weakened.
Renewable energy stocks moved higher on speculation that Democrats could reverse policies affecting the solar industry. The Invesco Solar ETF gained 3.5% in overnight trading.
Treasury yields also declined, with the 10-year yield falling more than four basis points to 4.904%. Meanwhile, Cboe Volatility Index futures climbed above 20, reflecting increased investor caution.
Market participants cautioned that election-related volatility could be temporary, particularly as vote counting continued across several states.
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