U.S. Midterm Results Unlikely to Dictate Market Direction, UBS Says -- Market Talk

1019 GMT - The U.S. midterm election results are unlikely to determine the direction of stocks, bonds or the dollar on their own, with economic fundamentals remaining more important, UBS says. The bank expects a change in congressional control to increase scrutiny of the Trump administration and complicate fiscal negotiations, potentially creating volatility around the 2027 debt ceiling. However, narrow majorities and presidential veto powers would limit sweeping policy changes. UBS says corporate earnings, economic growth, inflation and interest rates should remain the main market drivers, and expects Treasury yields to move slightly lower over the next 12 months. (farhan.rafid@wsj.com)

(END) Dow Jones Newswires

November 04, 2026 05:19 ET (10:19 GMT)