November 7, 2018

US midterm election: a split Congress

Share on facebook
Share on twitter
Share on linkedin
Share on email

In Short

The midterm election delivered a split Congress, with the Democrats getting the control of the House of Representatives and the Senate remaining in Republicans’ hands.
US midterm election: a split Congress
Share on facebook
Share on twitter
Share on linkedin
Share on email

Highlights:

  • The midterm election delivered a split Congress, with the Democrats getting the control of the House of Representatives and the Senate remaining in Republicans’ hands.
  • Such a scenario implies virtually no scope for big legislative action on the fiscal front. A split Congress increases the probability of a shutdown: the first such occurrence could be in Q1 2009.
  • Democrats and Trump’s support may increase the likelihood of extra infrastructure spending, but finding a deal in the Congress will be hard. A much more likely outcome is some revision in drug prices.
  • On trade, there should be no significant impact. The new agreement with Mexico and Canada will be passed and the Administration’s attitude toward China will not change.

Download the full publication below

US MIDTERM ELECTION: A SPLIT CONGRESS

Also interesting

Traffic-highway-Business-district-Jakarta-Emerging
00:11:38
April 19, 2021
Fixed Income

The Spotlight ǀ Equity-like returns with bond-like volatility investing in 75+ emerging economies

China-flag-with-indicators-and-chart
April 16, 2021
Market Commentary

China’s Q1 GDP growth: Strong year-on-year growth amid weak momentum

size 3
April 15, 2021
Market Commentary

COVID-19 UPDATE Facts & Figures