(26 October 2026 – United States) Citi has framed the upcoming 3 November US midterm elections around the “three As” of affordability, AI and anti-establishment populism.
While the Democrats are set to retake the house the senate race proves more difficult to predict. President Donald Trump’s record-low popularity, cost of living and immigration are shaping the midterm elections which will determine whether Republicans keep control of Congress or Democrats gain the power to challenge the administration.
The rise of pro-socialism sentiment among younger voters driven by affordability and wealth gap concerns signals a significant political trajectory for the 2028 presidential election. Corporates are focused on cyber exposure and in particular the split between government and private-sector responsibility.
“As investors look at AI and what’s going to happen, absent Congressional action, you will see state action. Because data centres and the politics around them are not Republican or Democrat. It’s both parties. It’s much more about populism. And that intersection means the states that feel pressure in local elections, where individuals are losing because they supported a data centre in a particular district, could lead to a lot more restrictions” stated Citi Head of Global Government Affairs, Candi Wolff for the Research @ Citi Podcast E89: Three Keys to the 2026 Midterms.
“So I think you’re going to see AI front and centre, both post-election within Congress and certainly in 2027. That’s going to be one of the big topics. What guardrails do we have? What have we done ourselves to make sure we’re protected? How do we have the infrastructure? And what should government be doing versus what should the private sector be doing? So I think AI is number one.”
“The invisible primary starts the day after the midterms and every candidate will need an AI platform, so business should expect policy positions to harden quickly.”
Globally governments are on edge as the UK and European Union recommend stockpiling household supplies due to rising risks of war, extreme weather, cyberattacks and hybrid threats. UK Defence Secretary Wes Streeting warns Britain’s adversaries could be ready to attack the UK in 2030 and the EU Preparedness Strategy aim to ensure people can manage initial disruptions to power, water or food until help arrives.