Dollar Weakens After Democrats Gain Ground in U.S. Congressional Elections

Dollar slides, safe havens

The dollar weakened sharply as Democrats gained ground in U.S. congressional elections, and investors sold stocks, quickly unwound dollar positions, and sought the safety of Treasuries. The euro rose 0.5% to $1.1249, the yen climbed 0.7% to 157.63 per dollar, and the dollar index declined 0.3% to 101.4.

Euro and yen rise1 of 8 outlets reported it · not in Euronews and 6 more▾

CNN Business strategist Carol Kong said, “the dollar could face further selling pressure in the near term,” linking it to expectations of a Democratic sweep. CNN Business strategist Moh Seung-sim said market moves also reflected concerns about tighter scrutiny of the AI sector, with the Nasdaq showing weaker performance and worries about U.S. growth if the sector comes under more regulation.

Kong links sweep to dollar1 of 8 outlets reported it · not in Euronews and 6 more▾

Veto talk and market nerves

President Donald Trump told CBS News he was ready to veto legislation if Democrats win control of Congress, and he said he does not mind being called “Mr. Veto”.

Hakeem Jeffries said Democrats will work to serve the American people if they win the majority, emphasizing that his role is not to work for any particular president.

Euronews said the results began to reveal signs of progress for Democrats in key races, while the competition remained open in a number of states that could tilt the balance of power in Washington.

Bloomberg Línea said Wall Street closed on Tuesday with gains, with the S&P 500 rising 0.37% as semiconductor manufacturers rebounded after heavy losses tied to doubts about the profitability of artificial intelligence.

Reporting for this sectionEuronewsBloomberg Línea

Oil swings on Iran risk

Oil prices moved in opposite directions across reports as investors awaited Washington’s next move in the war with Iran after midterm election estimates pointed to Democratic majorities in Congress.

إرم بزنس said US crude inventories fell by 5.27 million barrels for the week ended October 30, while gasoline inventories rose by 1.43 million barrels and distillate production fell by 1.19 million barrels.

الجزيرة نت quoted Branka Sachdeva saying, “Conflicting signals from President Trump have made it difficult for traders to form a firm view on the market’s direction.”

Reuters-linked market sources cited by موقع 24 said crude stocks fell by 5.27 million barrels in the week ending Oct. 30, and Haitong Futures said, “Diesel inventories remain tight, while gasoline stocks rose more than expected.”