Morgan Stanley (MS.N) says the equity market pullback is nearing its end.

Franklin Templeton Research Institute chief market strategist Stephen Dover said a divided U.S. government could lower the odds of large-scale legislative reform but would not necessarily reduce policy uncertainty. He warned heightened confrontation between Congress and the White House could increase market volatility, particularly for firms sensitive to international trade, government spending and regulation. Healthcare companies may face tougher scrutiny on drug pricing, insurance costs and public health-insurance reimbursement. Financial institutions could face stricter congressional oversight. Defense contractors are exposed to shifts in spending priorities. Energy firms, including renewable developers, would be sensitive to changes in regulation and federal incentives.

恐慌指數VIX突破28，日內漲幅擴大至67%。