Democrats swept Congress in the US midterm elections. Elon Musk, a Republican super donor, his Tesla and SpaceX fell in pre-market trading on Wednesday. Tesla shares fell about 5% in pre-market trading, and SpaceX fell 6.9%. Voters' discontent over the cost of living and the war in Iran has dealt a heavy blow to Donald Trump and his party. The Democratic Party's massive victory in Texas was a heavy blow to Musk, where Tesla and SpaceX are headquartered, and he himself is allied with Republican politicians. For investors holding shares in these two companies, the “blue wave” in the midterm elections will be a double blow. This will heighten concerns about tightening AI regulations, and will also overshadow the two companies' potential merger plans. First New York analyst Vikram Rai said that although Congress cannot unilaterally veto a deal, the more powerful Democrats may be able to delay the progress of the agreement. “If the Democrats win big, both stocks will be at risk of major news events,” Rai said in an interview last week.

Democrats swept Congress in the US midterm elections. Elon Musk, a Republican super donor, his Tesla and SpaceX fell in pre-market trading on Wednesday. Tesla shares fell about 5% in pre-market trading, and SpaceX fell 6.9%. Voters' discontent over the cost of living and the war in Iran has dealt a heavy blow to Donald Trump and his party. The Democratic Party's massive victory in Texas was a heavy blow to Musk, where Tesla and SpaceX are headquartered, and he himself is allied with Republican politicians. For investors holding shares in these two companies, the “blue wave” in the midterm elections will be a double blow. This will heighten concerns about tightening AI regulations, and will also overshadow the two companies' potential merger plans. First New York analyst Vikram Rai said that although Congress cannot unilaterally veto a deal, the more powerful Democrats may be able to delay the progress of the agreement. “If the Democrats win big, both stocks will be at risk of major news events,” Rai said in an interview last week.