The Dow Jones Is Rallying While Nasdaq Gains Are Reversing

Dow Jones rallies on midterm elections as uncertainty lifts, oil prices fall and Treasury yields move lower across markets. Fiona Cincotta, StoneX Senior Market Analyst, explains why Wall Street is welcoming a divided Congress and why Nasdaq gains are reversing. A divided Congress makes sweeping legislative change harder to push through, so markets are pricing in fewer disruptive policy surprises on trade and government spending. Oil prices fell sharply on a possible de-escalation of the Iran conflict, removing part of the geopolitical risk premium and easing inflation expectations, which gives the Federal Reserve more flexibility. Treasury yields and global bond yields are falling as investors reassess fiscal policy and government borrowing, lifting demand for riskier assets such as equities. Tech is lagging, with Nasdaq futures lower and neocloud stocks hit by questions over the pace of AI data center expansion. 00:00 - Dow Jones Jumps After Midterms 00:29 - Divided Congress Calms Wall St 01:41 - Oil Sheds Its Risk Premium 02:31 - Treasury Yields Slide 02:59 - AI Doubts Hit Tech Stocks 03:29 - Payrolls Test the Dow Rally Discover Actionable Insights with the latest Market Outlook Reports: https://intel.stonex.com/offer?language=en&campaignId=A908C315-DC62-4F35-AC16-870BB71E84D1&utm_source=youtube&utm_medium=social&utm_campaign=sxtv_guest_fiona_cincotta&utm_content=share Like and subscribe for more financial market insights. #DowJones #StoneX #FionaCincotta #Nasdaq --------- Like this video? Subscribe and turn on notifications so you don't miss any videos from StoneX: https://www.youtube.com/@StoneX_Official Visit https://www.stonex.com/en/insights/thought-leadership/?utm_source=youtube&utm_medium=social for insights, perspectives and thought leadership from StoneX's global network of experts. Visit our website: https://www.stonex.com?utm_source=youtube&utm_medium=social