Winners and losers from the 2026 midterm elections

The 2026 midterm elections saw the Democratic Party secure control of both the House and the Senate, with voters giving a strong mandate to candidates advocating for affordability. Hakeem Jeffries, a Democratic candidate running on affordability, is likely to become Speaker of the House. President Donald Trump acknowledged that voters were not willing to pay more for gas, highlighting affordability as a key issue for many voters.

Elon Musk, the biggest individual donor in the midterms, spent over $400 million to support Republican-aligned groups. However, his efforts were unsuccessful as Democrats retained control of the Senate. Musk's failed attempts to preserve Republican control were evident in Texas, where he backed Ken Paxton's Senate campaign, which ultimately lost.

Musk also used his social media platform, X, to endorse Republican candidates in Texas, calling James Talarico, a Democratic opponent, a "creep."

AI companies faced a challenging political environment following the Democratic sweep. Democrats are expected to scrutinize the costs of the AI race, including the power and water consumed by data centers, rising household electricity bills, and whether tech companies are keeping their promises about local jobs. While this doesn't necessarily mean a crackdown on AI, it could lead to more investigations and scrutiny of companies such as Microsoft, Google, Amazon, and Meta.

The stock market reacted negatively to the Democratic sweep, with US stock futures falling and S&P 500 and Nasdaq 100 futures down significantly. AI-linked stocks were among the hardest hit, as investors considered the prospect of tougher oversight of Big Tech under Democratic control. Finally, those counting on Trump's proposed $5,000 dividend are unlikely to receive it, as the proposal was conditional on Republicans maintaining control of the House and Senate, an outcome voters have rejected.