Possible scenario
Tax Compromise Path
25%
−0.1%
Democrats use their new majorities to shape the next tax debate, especially around middle-income relief, the child tax credit, SALT deductions, corporate tax preferences, and stock buybacks. Because the White House remains Republican, the likely result is negotiation rather than a sweeping partisan tax law.
What it moves
- Technology−0.4%
- Consumer Cyclicals+0.3%
- 10-year Treasury yield
- Riskier companies' borrowing costs
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