US Midterm Election Results 2026 | Stocks to buy: Following the sell-off trigger in the US bond market and the US dollar after the humiliating defeat of Donald Trump's Republican Party, global markets, including India's Sensex, Nifty, Bank Nifty and other broad market indices, are skyrocketing. By 10:10 AM on Thursday, the BSE Sensex is up close to 1700 points, or more than 2%; the Nifty 50 index is up over 400 points, or 1.75%; and the Bank Nifty index is up by around 1100 points, or 2%.
According to stock market experts, this rally in the Indian stock market is due to a sharp shift of smart money from the US bond market to other assets such as equities, gold, and silver, following weakness in the US dollar. They said that the fall in the US dollar can be attributed to the humiliating defeat of the US President Donald Trump's Republican Party in the US Midterm Elections. Expecting relief for Indian H-1B Visa applicants in the tech and IT sector, and easing of Middle East tensions and Russian sanctions, they predicted a big jump in IT and oil stocks in the medium- to long-term. They advised investors to consider oil refiners when choosing an oil stock, as oil refiners earn big by exporting diesel, which shot up to $200 per barrel from $108 during the US-Iran war.
Decoding Trump's Republican Party's defeat in the US Midterm Elections, Seema Srivastava, Senior Research Analyst at SMC Global Securities, said that President Donald Trump’s setback in the US midterm elections, which handed control of Congress to the Democrats, introduces a mix of relief and policy friction for the Indian stock market.
Expecting relief for the IT and tech sector after the US Midterm Election Results 2026, Seema Srivastava said, “A Democratic-led Congress is expected to push back against aggressive restrictions on skilled immigration and heavy H-1B visa fees. This provides regulatory relief for Indian IT giants heavily reliant on the US market, boosting tech stocks.”
Pointing towards the impact on oil prices and macro stability after the humiliating outcome for Trump's Republican Party, Srivastava said, “Potential pressure from a newly empowered opposition to navigate away from heavy geopolitical flashpoints could ease strict enforcement on Russian crude imports, offering India some breathing room on energy costs. Lower oil prices generally benefit India's current account deficit and macroeconomic stability.”