<p>With four weeks to go until the vote, polls and prediction markets point to a divided government the most likely outcome, Goldman Sachs wrote in a note.</p><p>There is a 85% likelihood that Republicans gain control of the Senate, the House or both, and just a 15% likelihood that Democrats maintain unified legislative control.Historically, a divided Congress has been more favourable for stocks as many investors believe it makes sweeping reforms less likely to pass, keeping the investment backdrop more stable.“<a target=“_blank“ href=“https://www.forexlive.com/terms/e/equities/“ target=“_blank“ id=“9c7de710-0fba-425c-93e5-422427b92644_1″ class=“terms__main-term“>Equities</a> typically perform well following midterms as political uncertainty declines,“ GS strategists said.The S&P 500 has generated a median return of 3% through year-end and 17% during the 12 months following midterm elections, Goldman Sachs‘ analysis of the last 90 years showed.“However, we believe the election outcome will rank low on the list of macro drivers of equity market returns,“ strategists added.</p><p><a target=“_blank“ href=“https://twitter.com/PriapusIQ/status/1579793124700065792?s=20&t=CZTocCoIKgKS-w8xGTtpTw“ target=“_blank“ rel=“nofollow“>Full Reuters note</a></p>

This article was written by Ryan Paisey at forexlive.com.

<p>The German government still expects a recession in 2023, sees GDP at -0.4% – govt sources</p><p>Now expects inflation at 8.0% in 2022, 7.0% in 2023 after gas price brake</p><p>Lets be honest, they’d be a laughing stock if they dint expect a recession </p>

This article was written by Ryan Paisey at forexlive.com.

<p>PBoC on the wires: </p><p>Will further enhance depth and breadth of the currency market</p><p>PBoC will strengthen the flexibility of the RMB exchange rate, and give better play to the role of the exchange rate as an automatic stabilizer for macroeconomic adjustment and balance of payments</p><p>Will resolutely curb big fluctuations of exchange rate </p>

This article was written by Ryan Paisey at forexlive.com.

<p>U.S. small business sentiment edges up in September – NFIB</p><p>US NFIB Business Optimism Idx (Sep): 92.1 (Prev. 91.8)</p><p>Thirty percent of owners reported that inflation was their single most important issue in operating their business, up one point from August but seven points down from July’s reading, which was the highest share since the fourth quarter of 1979.</p><p><a target=“_blank“ href=“https://twitter.com/PriapusIQ/status/1579774473427111936?s=20&t=mu3ol6vQyzyHUsiFxN0wrA“ target=“_blank“ rel=“nofollow“>Full Reuters note</a></p>

This article was written by Ryan Paisey at forexlive.com.

<p>Reuters report; The cost of insuring exposure to China’s sovereign debt rose to the highest level since January 2017 on Tuesday, data from S&P Global Market Intelligence showed.China’s five-year credit defaults swaps added 5 basis points (bps) from Monday’s close to hit 112 bps, the data showed. China CDS started the year at 40 bps.With the exception of its deeply indebted property sector, which has also been the target of a policy crackdown, China’s external debt levels are contained.</p><p><a target=“_blank“ href=“https://twitter.com/PriapusIQ/status/1579772926534221825?s=20&t=a-RDnF33JSC5obDCDdzEDQ“ target=“_blank“ rel=“nofollow“>Full Reuters note</a></p>

This article was written by Ryan Paisey at forexlive.com.