Democrats Just Swept Congress -- and 80 Years of Stock Market History Says This Happens Next

After Democrats won both the House and Senate in the Nov. 3 midterms, the article argues Wall Street initially cheered but then repriced risk. The Dow posted its biggest gain of the year the next day, but on Nov. 5 the tech-heavy index plunged 5.56% as investors priced tighter regulation of AI infrastructure. The VIX jumped to 28.18 from 16.61 earlier that day. The piece cites an 80-year pattern: the S&P 500 rose in all 20 completed 12-month periods after midterm elections since 1946, averaging 14.7%, with especially strong results when Democrats controlled Congress and the president was Republican. It warns AI’s market weight has changed the test for 2026, including data centers’ power demand and potential permitting delays.