Decision Desk HQ projected Democrats to win both chambers of Congress, raising the prospect of legislative gridlock and tougher scrutiny of AI and crypto. S&P 500 futures fell 1.2% and Nasdaq futures dropped 2.1%.
Decision Desk HQ projected Democrats to win control of the House and Senate in Tuesday’s midterm elections. Democrats appeared unlikely to gain the two-thirds supermajority needed to override President Donald Trump’s vetoes, and investors faced the prospect of stalled budget negotiations and a more complicated fiscal outlook.
S&P 500 futures fell 1.2% and Nasdaq futures dropped 2.1% on Tuesday evening, while the dollar index slipped 0.4% to a one-month low. Bitcoin fell 1.8% to $76,457.20 and ether declined 1.9% to $2,248.65.
Investors were also weighing potential investigations and tighter oversight of technology companies, including AI data-center projects. Democrat Gina Hinojosa defeated Republican incumbent Greg Abbott in Texas’s governor race, and Democrat Keisha Lance Bottoms won Georgia’s race; investors were watching the states’ implications for AI development.
