Pictet Asset Management said a stronger-than-expected Democratic showing in the
US midterms could reduce policy reversals. Chief strategist Luca Paolini said a
Democrat-controlled Congress would be more likely to block further Trump-era tax
cuts, rollbacks of regulation and measures to accelerate the AI sector, and
could make further US escalation against Iran harder. He cautioned a
presidential veto can be overturned only by two-thirds majorities in both
chambers — a high but not impossible threshold.
