What the US midterm elections mean for investors

What the US midterm elections mean for investors
Midterms campaign

There are currently 50 senators from the Democrats and 50 from the Republicans. Still, President Joe Biden’s Democratic Party has called the shots in the Senate so far.

(Photo: IMAGO/ZUMA Wire)

Frankfurt November 8th is one of the most important political dates this year: That is when the so-called midterms will take place in the USA. All members of the House of Representatives and around a third of the senators are newly elected. Politically, this will be a crucial test between the increasingly hostile Democrats and Republicans. But the elections also have an impact on the stock market.
Goldman Sachs states in a study: “Equities usually run sideways into the elections, but rise in the months after the election day.” Interestingly, when there is a political stalemate, investors seem to find it better than clear conditions.

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