A Democratic victory in both chambers of Congress could put short-term pressure on the U.S. dollar, ING's strategists say, as that outcome remains less fully priced in currency markets.
ING says pricing leaves more room for a reaction to a Democratic victory in both chambers than to a Republican loss of the House. The bank says the two-chamber Democratic outcome could put short-term pressure on the U.S. currency.
A divided Congress, with Democrats controlling the House and Republicans holding the Senate, would be neutral or modestly supportive for the dollar, ING says. The assessment reflects market expectations, not the election result.
EconoTimes previously covered ING's view of the midterm vote and the dollar.
