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  • Fox news is reporting that the Democrats are set to take the majority in the House.
  • Republicans are seen retaining the Senate.
  • Split Congress would be bad news for the US stocks.

The S&P 500 futures are trimming gains on reports stating that the Democrats are set to take the majority in the House.

At press time, the futures are reporting a 0.10 percent gain, down from a 0.25 percent gain seen a few minutes before press time.

The likelihood of the Democrats winning the House has jumped back to 70 percent, according to a polling website FiveThirtyEight. Indeed, the markets had been expecting that Trump’s Republican Party would lose control of the House while retaining the Senate.

That outcome, however, is seen negative for stocks as a split Congress could lead to political gridlock in Washington.