Deep Democratic Cuts
−0.3%
Emboldened by the election result, congressional Democrats move beyond the Pentagon fallback plan and write a materially lower defense bill. This would be the most negative plausible path for defense primes, especially those tied to aircraft, missile defense, submarines, and shipbuilding.
What it moves
- Industrials−1.4%
- Technology−0.3%
- Market volatility
- 10-year Treasury yield
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