<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="Wall Street is prepared to happily wave goodbye to the threat of a so-called “blue tsunami” on Election Day." data-reactid="15">Wall Street is prepared to happily wave goodbye to the threat of a so-called “blue tsunami” on Election Day.</p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="&lt;a href=&quot;https://finance.yahoo.com/news/markets-respond-midterm-election-results-live-005522879.html&quot;&gt;Dow Jones Industrial Average futures&lt;/a&gt; spiked about 76 points as of 9:42 p.m. ET as the prospect of Democrats winning both the Senate and House of Representatives faded with results coming in hot and heavy. Instead, early signs point to the Republicans holding onto their majority in the Senate while the Democrats gain control of the House as many on the Street anticipated." data-reactid="16">Dow Jones Industrial Average futures spiked about 76 points as of 9:42 p.m. ET as the prospect of Democrats winning both the Senate and House of Representatives faded with results coming in hot and heavy. Instead, early signs point to the Republicans holding onto their majority in the Senate while the Democrats gain control of the House as many on the Street anticipated.</p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="Yahoo Finance checked in with several Wall Street pros Tuesday night to get their thoughts on what a divided government would mean for investors." data-reactid="17">Yahoo Finance checked in with several Wall Street pros Tuesday night to get their thoughts on what a divided government would mean for investors.</p><h2 class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="“Positive” – Keith Lerner" data-reactid="18">“Positive” – Keith Lerner</h2><ul class="canvas-list List(d)" data-type="list" data-reactid="19"><li data-reactid="20"><span>Street Cred:</span> Veteran market forecaster with more than 20 years experience.</li><li data-reactid="21"><span>Current Role:</span> Chief markets strategist at Suntrust.</li></ul><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="“Markets are taking it [what could be a divided government] positive,” Lerner says. “Some were concerned about [Democrats taking both chambers of Congress], it would have likely been negative for the market.” Lerner thinks that investors will quickly move beyond the mid-term elections and shift their attention back to a healthy U.S. economy and Corporate America." data-reactid="22">“Markets are taking it [what could be a divided government] positive,” Lerner says. “Some were concerned about [Democrats taking both chambers of Congress], it would have likely been negative for the market.” Lerner thinks that investors will quickly move beyond the mid-term elections and shift their attention back to a healthy U.S. economy and Corporate America.</p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="He also thinks financials and small-cap stocks could catch a bid this week in the aftermath. Both sectors tend to do well when not being crushed by regulation, which often comes with Democratic control of the government. Defense stocks could also pick up on the likelihood of continued strong defense spending." data-reactid="23">He also thinks financials and small-cap stocks could catch a bid this week in the aftermath. Both sectors tend to do well when not being crushed by regulation, which often comes with Democratic control of the government. Defense stocks could also pick up on the likelihood of continued strong defense spending.</p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="No blue tsunami may also mean no Democratic led push to raise minimum wages, which would be good for retailers Lerner says." data-reactid="24">No blue tsunami may also mean no Democratic led push to raise minimum wages, which would be good for retailers Lerner says.</p><h2 class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="“Uncertainty increases” – Sam Stovall" data-reactid="25">“Uncertainty increases” – Sam Stovall</h2><ul class="canvas-list List(d)" data-type="list" data-reactid="26"><li data-reactid="27"><span>Street Cred:</span> A wizard crunching markets data, Stovall has about 30 years of financial markets experience.</li><li data-reactid="28"><span>Current Role:</span> Chief investment strategist CFRA Research</li></ul><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="Stovall is a touch more bearish on what a split government would mean for investors." data-reactid="29">Stovall is a touch more bearish on what a split government would mean for investors.</p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="&lt;span style=&quot;font-weight:400;&quot;&gt;“Uncertainty increases and there is a likelihood that things just wont get done,” Stovall says. “It removes Trump tax reform part two and elevates the discord between the two parties.” &lt;/span&gt;" data-reactid="30">“Uncertainty increases and there is a likelihood that things just won't get done,” Stovall says. “It removes Trump tax reform part two and elevates the discord between the two parties.”</p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="&lt;span style=&quot;font-weight:400;&quot;&gt;Stovall says the auto and energy sectors could feel some pressure with the Democrats taking the house on the threat of greater regulation.&amp;nbsp;&lt;/span&gt;" data-reactid="31">Stovall says the auto and energy sectors could feel some pressure with the Democrats taking the house on the threat of greater regulation. </p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="Stovall doesn’t see a bear market happening because a recession is unlikely. He does point out that according to historical data, every president since Teddy Roosevelt has seen a recession in their first term." data-reactid="32">Stovall doesn’t see a bear market happening because a recession is unlikely. He does point out that according to historical data, every president since Teddy Roosevelt has seen a recession in their first term.</p><h2 class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="“More investigations” – Scott Clemons" data-reactid="41">“More investigations” – Scott Clemons</h2><ul class="canvas-list List(d)" data-type="list" data-reactid="42"><li data-reactid="43"><span>Street Cred:</span> More than 28 years of financial markets experience.</li><li data-reactid="44"><span>Current Role:</span> Chief investment strategist Brown Brothers Harriman.</li></ul><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="Clemons says he didn’t make changes to client portfolios — which tend to be longer term — ahead of the elections. He doesn’t plan on making any changes in the aftermath, either." data-reactid="45">Clemons says he didn’t make changes to client portfolios — which tend to be longer-term — ahead of the elections. He doesn’t plan on making any changes in the aftermath, either.</p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="“We may see a little rally on Wednesday,” Clemons says. “The b&lt;span style=&quot;font-weight:400;&quot;&gt;iggest contribution to Corporate America from this administration has been de-regulation, which comes under the purview of&amp;nbsp; the president — a divided Congress doesn’t threaten that economic tailwind.”&lt;/span&gt;" data-reactid="46">“We may see a little rally on Wednesday,” Clemons says. “The biggest contribution to Corporate America from this administration has been de-regulation, which comes under the purview of  the president — a divided Congress doesn’t threaten that economic tailwind.”</p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="&lt;span style=&quot;font-weight:400;&quot;&gt;Clemons cautions that a divided Congress could mean more investigations into the president. That is not without headline risk to stocks. &lt;/span&gt;" data-reactid="47">Clemons cautions that a divided Congress could mean more investigations into the president. That is not without headline risk to stocks.</p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="&lt;span style=&quot;font-weight:400;&quot;&gt;“I anticipate two years of reminding clients to make a distinction between things that threaten to impair sentiment and that could impair value,” Clemons adds.&lt;/span&gt;" data-reactid="48">“I anticipate two years of reminding clients to make a distinction between things that threaten to impair sentiment and that could impair value,” Clemons adds.</p><h2 class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="“More contentious” – Jonathan Golub" data-reactid="49">“More contentious” – Jonathan Golub</h2><ul class="canvas-list List(d)" data-type="list" data-reactid="50"><li data-reactid="51"><span>Street Cred:</span> More than 30 years of financial markets experience.</li><li data-reactid="52"><span>Current Role:</span> Chief U.S. equity strategist Credit Suisse.</li></ul><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="&lt;span style=&quot;font-weight:400;&quot;&gt;“This perhaps changes the tone in Washington, makes it more contentious as Democrats gain control of key committees,” Golub says. He thinks that while Democrats will ratchet up their investigations into Trump, they will prove unsuccessful.&amp;nbsp;&lt;/span&gt;" data-reactid="53">“This perhaps changes the tone in Washington, makes it more contentious as Democrats gain control of key committees,” Golub says. He thinks that while Democrats will ratchet up their investigations into Trump, they will prove unsuccessful. </p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="Similar to Lerner, Golub believes will now shift focus back to the solid U.S. economy and the 2020 presidential race." data-reactid="54">Similar to Lerner, Golub believes will now shift focus back to the solid U.S. economy and the 2020 presidential race.</p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="&lt;span style=&quot;font-weight:400;&quot;&gt;“Unless there is some surprise out of the Mueller investigation or a recession, which is reasonably unlikely, Trump looks stronger for re-electon.”&lt;/span&gt;" data-reactid="55">“Unless there is some surprise out of the Mueller investigation or a recession, which is reasonably unlikely, Trump looks stronger for re-election.”</p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="&lt;span style=&quot;font-weight:400;&quot;&gt;“Unless there is some surprise out of the Mueller investigation or a recession, which is reasonably unlikely, Trump looks stronger for re-electon.”&lt;/span&gt;" data-reactid="55"></p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="&lt;span style=&quot;font-weight:400;&quot;&gt;“Unless there is some surprise out of the Mueller investigation or a recession, which is reasonably unlikely, Trump looks stronger for re-electon.”&lt;/span&gt;" data-reactid="55"></p><p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" content="&lt;span style=&quot;font-weight:400;&quot;&gt;“Unless there is some surprise out of the Mueller investigation or a recession, which is reasonably unlikely, Trump looks stronger for re-electon.”&lt;/span&gt;" data-reactid="55"><a href="https://fomag.ru">Source</a></p>