US Midterm Elections 2026: 3 Market Risks Investors Should Watch as Democrats Lead in Prediction Markets

Prediction markets give Democrats roughly a 70% chance of taking control of both chambers of Congress. A potential Democratic majority could complicate negotiations over the CLARITY Act and reshape the regulatory outlook for crypto. AI bailout proposals and the risk of renewed US-Iran strikes add further uncertainty for stocks, oil and global markets. The US midterm elections on November 3 could become a major market catalyst, with investors watching beyond the battle for control of Congress. Prediction markets currently give Democrats around a 70% chance of winning both the House and Senate.