The Zhitong Finance App learned that Morgan Stanley indicated in a newly released research report that the Democratic Party has already won control of the House of Representatives and Senate, although some election results are still being counted. This decisive election result shows that the situation is moving towards the “Democratic Party cohesive majority” scenario the bank envisioned. Under this scenario, the uncertainty brought about by the change in administration may be a drag on the overall performance of the stock market. The impact is similar to the market fluctuations caused by the Republican Party's new control of the House of Representatives after the 2022 midterm elections. However, implementation of SNAP (Supplemental Nutrition Assistance Program) and Medicaid (Medicaid) cuts may be delayed, which will benefit the consumer sector and put economic growth forecasts at some upward risk.

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