Democrats' midterm win reshapes Wall Street: AI stocks drop, liquor and renewables gain

The Democrats' overwhelming victory in the midterm elections caused significant market shifts on Wall Street this week, with the biggest impact hitting AI-related stocks on concerns that a Democratic Congress will slow data center development. Defense and oil companies fell on expectations Democrats will push to end the U.S.-Iran war, potentially lowering energy prices, while hospital shares rose on hopes for restored government program funding. Liquor companies gained on prospects for tariff relief. Elon Musk's companies, Tesla and SpaceX, fell 5% and 10.1% respectively amid concerns about congressional investigations, while Trump Media lost 33% of its value. Renewable energy firms anticipate friendlier policies, though housing and consumer staples showed mixed reactions to the political shift.