Tuesday , August 16 2022

US mid-term, focusing currencies


Overnight on Wall Street jumped Dow Jones Industrial Average over 545 points to close to 26,180.30 while S & P 500 increased 2.123 percent to end trading day at 2,813.89. The Nasdaq Composite also developed 2.64 percent at approximately 7,570.75.

The great averages had previously been high after US President Donald Trump stated he was willing to work with Democrats on political initiatives that would help the economy to continue to grow.

Democrats won control of the House of Representatives while the Republicans retained their grip on the Senate, such as the United States mid-term election-divided congress.

Investors expect Trump's business policy to continue, while some expressed optimism about the congress, which gives greater control over Trump's more disturbing market actions. Historically, stock markets are seeing strong returns when the congress is divided.

"With trade tensions in the foreground in the last few months and the risk fluctuations in the spotlight, the US intervening conditions were seen through the pricing if the outcome could challenge the president to go harder on trade or in practice if the election was to cut his wings," said David de Garis, a director and senior economist at the National Australia Bank, in a morning note.

"With the Democrats who are in control of the Chamber, the latter scenario may be a little more likely," said Garis.

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