Traders work on the floor of the New York Stock Exchange (NYSE) on November 2, 2026 in New York City, USA.
Brendan McDiarmid | Reuters
Stock futures fell on Tuesday night as traders speculated that Democrats will win a majority in Congress and some key governorships in the 2026 U.S. midterm elections.
Futures linked to the S&P 500 While the stock traded 1.3% lower, Nasdaq 100 futures It decreased by 2.2%. futures tied to Dow Jones Industrial Average It decreased by 410 points (0.8%).
The odds that Mr. Carsi will be in the Democratic Senate majority have risen to more than 99%, indicating that traders are increasingly betting on a key night for Democrats. The odds of Democrats taking control of the House of Representatives, which had been widely predicted, jumped to 99%. CNBC’s elections desk predicts that Democrats will win the U.S. House of Representatives. Democrats are also gaining momentum toward gaining a majority in the Senate.
The Associated Press predicted that Texas Democratic gubernatorial candidate Gina Hinojosa would defeat Republican incumbent Greg Abbott. Hinojosa has promised to suspend data centers in major technology hubs.
Some Wall Street insiders say the market, especially stocks related to enhanced artificial intelligence, could come under pressure if Democrats secure a sizable majority in the Senate, a so-called blue wave scenario. Investors are worried that a landslide victory for Democrats could mean further restrictions on data centers across the country. AI stocks have already fallen in recent weeks on concerns about a slowdown in data center spending.
big tech stocks microsoft, Amazon and Nvidia Both fell in after-hours trading. Initiatives at high-risk data centers coreweave Robinhood fell 6% in overnight trading. Elon Musk’s space x Robinhood also had 6% off.
Anthony Saglimbene, chief market strategist at Ameriprise Financial, said stocks are “trending lower as it becomes more likely that Democrats will take control of the House and possibly the Senate.”
“I think it’s going to be more interesting to see how the gubernatorial race goes,” Saglimbene added. “If we have a Democratic governor, what does that mean for data center construction? We’ve already seen a lot of skepticism in recent weeks when it comes to hyperscaler capital spending.”
S&P 500 futures, intraday
To be sure, voting is not yet fully closed in all states. Markets often fluctuate wildly on election night. Many investors also believe that the market movement caused by this election will not last.
AMD Shares initially rose by double digits in post-market trading after the AI industry leader reported third-quarter earnings and sales that beat analysts’ expectations. Stock market futures gave up their gains, and stock prices ended up about 3%.
For the broader market, investors believe the blue wave will also be a headwind. A blue wave is likely to eliminate pro-business policies such as tax cuts and could lead to increased scrutiny of industries such as banks.
Renewable energy stocks, including solar power stocks, rose in the post-market on speculation that President Donald Trump’s policies against the industry could be reversed if Democrats gain a majority in Congress. of Invesco Solar ETF It rose 3.5% on Robinhood trading.
Treasury yields fell as stock futures slipped into the red, with the 10-year Treasury yield dropping more than 4 basis points to 4.904%. futures of CBOE Volatility Index The fear gauge rose above 20 as investors braced for a rebound.
