Markets initially sold off after the Democratic blue wave in the US midterms, but much of the decline in equities, bond yields and the dollar quickly reversed. AI sentiment remained resilient, with AMD raising guidance and Meta attracting strong demand for its USD 15 billion bond issue. Gold climbed above USD 4,000 per ounce while Asian markets rebounded despite softer Chinese services data. Dario Messi, Head of Fixed Income Research, sees political gridlock as supportive for US Treasuries and highlights attractive value in high-quality intermediate-duration bonds. Mathieu Racheter, Head of Equity Strategy, believes policy uncertainty around regulation, taxation and AI spending could weigh on US stocks, supporting the case for international diversification.