09.11.2020 - Democrat Joe Biden will be the next president of the United States, and is likely to take office with a divided Congress.
This scenario is likely to result in sufficient fiscal support for an economy still facing pandemic-induced headwinds, although less than would have been the case under a united Democrat government. The incoming president is likely to pursue a more predictable foreign policy. Major tax increases that would have been a part of the full set of “Blue Wave” policies can be largely ruled out, in our view. And the potential for an upside surprise in fiscal stimulus could further boost activity, as control of the Senate is yet to be decided, as discussed further below ...