Midterm Elections Unlikely to Alter Dollar's Outlook -- Market Talk

1316 GMT - Republicans could suffer a significant defeat in November's midterm elections but this is unlikely to change the dollar's outlook, Commerzbank's Thu Lan Nguyen says in a note. Governing would become more difficult for the Trump administration but this would apply only to policy initiatives requiring congressional approval, such as fiscal decisions which have already been taken, she says. In other areas, such as trade policy, Trump has relied primarily on executive orders. The executive branch also retains broad powers in wartime, meaning the chances of forcing Trump to switch course on the Iran war will remain limited, she says. "The risks to the dollar stemming from erratic U.S. policymaking are therefore unlikely to disappear." (renae.dyer@wsj.com)

(END) Dow Jones Newswires

October 26, 2026 09:16 ET (13:16 GMT)