Gold and silver rise and the dollar falls as Democrats take control of Congress after the midterm elections

Summary

Markets reacted to Democrats' capture of Congress in the US midterm elections. According to The Guardian, the dollar fell while gold and US Treasury bonds rallied, and US stock futures initially fell before turning positive, as the result raised expectations of tougher regulation of the AI sector. CNBC reported that gold, silver and other precious metals jumped and the dollar dipped as investors digested the Democratic sweep. The Guardian also said a Democratic Congress would make further significant fiscal expansion harder to pass, which could ease pressure on government borrowing and support Treasuries. Speculation that a Democratic Congress could slow AI capital spending briefly pushed the chip-exporting stock markets of Korea and Taiwan down 3-4% overnight, but they have since recouped those losses.

Timeline

1. The Guardian

   4 Nov 2026, 12:27 UTCSource ↗

   The Guardian's business live blog reports that the dollar fell while gold and US Treasury bonds rallied, and that US stock futures initially fell before turning positive, as markets reacted to the Democrats' midterm victory and expectations of tougher AI regulation.

2. CNBC

   4 Nov 2026, 19:11 UTCSource ↗

   CNBC reports that gold, silver and other precious metals prices jumped and the dollar dipped as investors digested a Democratic sweep in the US midterm elections.