The Dow Jones Industrial Average rose more than 1,000 points early on Wednesday after the US midterm results. Taiwan's United Daily News outlined Goldman Sachs and Morgan Stanley analysis suggesting the outcome could weigh on AI data-center investment.
United Daily News reported the Dow was up 1,035 points, about 2%, early on Wednesday. The S&P 500 and Nasdaq were said to be up 1.6% and 2.1% intraday, while another early report put both at about 1.1%, so the figures differ. All are intraday numbers; closing levels could not be confirmed.
광고 문의 · 300×250Analysts said the removal of election uncertainty drew dip buyers. With Democrats holding both chambers and Republican President Trump still in the White House, divided government makes major legislation hard for either side. Analyst Jay Woods noted that divided government has historically been friendlier to markets.
A split across sectors
According to the report, Walmart rose 1.8%, Bank of America 2.9%, and health insurers and hospital operators such as Molina Healthcare, Centene and HCA Healthcare jumped 5% to 7%. AI-linked shares were sold: the Philadelphia semiconductor index fell 2% early, TSMC's ADR slipped 1%, Oracle and CoreWeave weakened, and Texas-based SpaceX dropped 5%.
How Goldman and Morgan Stanley see it
Goldman Sachs said strong Democratic showings in state and local races could lead to pauses in some data-center construction, affecting about 45% of US compute expansion plans. Democratic governors in Texas, Georgia and Michigan might order conditional halts before new laws take effect, and Texas alone accounts for about 25% of planned expansion. New laws could end some tax breaks and add stricter environmental, water and power rules.
Goldman also noted that firms may rush to build before rules tighten, so the near-term pace could actually accelerate, and that existing operating data centers could gain value if approvals for new ones get harder. Morgan Stanley chief equity strategist Mike Wilson said companies may pull forward investment and mergers to get ahead of a policy shift if Democrats hold power in 2028.
Wilson added that a Democratic-led Congress might delay or reverse cuts to Medicaid and SNAP benefits, which could help consumption, but that tariffs, foreign policy and agency-led deregulation remain largely in the executive's hands, and stocks rarely price in events two years out. All of this is Wall Street analysis quoted in the report, and actual outcomes may differ.