Republicans still look likely to take control of the House of Representatives, but they are unlikely to grab control of the Senate. The Democrats held on to the the seat in West Virginia which means Republicans would have to win every contested race left on the board, including in California and Washington State, two Democratic strongholds, to take control.
As noted earlier, political gridlock is the likely outcome with President Obamaās agenda likely to be largely derailed as far as big new initiatives like a carbon tax or further stimulus is concerned.
At the margin, US deficits might be positively impacted going forward.
