Dollar Falls Ahead of U.S. Midterm Elections -- Market Talk

0744 GMT - The dollar edges lower as investors exercise caution ahead of Tuesday's U.S. midterm elections. Prediction markets see a Democratic sweep as the most likely outcome, Danske Bank analyst August Hyldgaard says in a note. "We would expect a Democratic sweep to have a modestly positive impact on broad dollar, while a divided Congress would likely lead to a very limited market reaction." The election coincides with the U.S. Treasury's Quarterly Refunding Announcement, which will gather more attention than usual, he says. A reduction to long-end issuance or increase in the size of long-end buybacks would weaken the dollar, he says. The DXY dollar index falls 0.1% to 101.811. (renae.dyer@wsj.com)

(END) Dow Jones Newswires

November 02, 2026 02:44 ET (07:44 GMT)