Week of October 31, 2022
The time has drawn to a close for an October political surprise. Current polls suggest a lean to the right in the House of Representatives and either a status quo or Republican takeover of the Senate. Should that occur, no policy changes could be expected as the president has the ability to override any legislation attempted by Republicans. Hence, it could be a stalemate for the remainder of the Biden term. However, Republicans would have the control of committees and could investigate varying players in government in order to thwart the remaining Biden agenda. Markets moved up strongly last week. Our signals did not change.
Bob Bilkie, CFA