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Significance

With Republicans retaining their House and Senate majorities too, Trump is in a position to take unilateral action via his powers as chief executive, battle with Republican leaders and the Democratic minority to set the legislative agenda, challenge his political adversaries for leadership of the party, and define Washington's global role for the next four years as commander-in-chief. However, investors, foreign capitals, corporates and the US public uncertainly await further clarification of the unorthodox candidate's policy programme after discounting his electoral viability and campaign promises.

Impacts

Senate Democrats under probable Minority Leader Chuck Schumer are likely to adopt a confrontational stance against the White House.

Election-related market volatility may slow the pace of US interest rate rises next year.

Further US disengagement from the Syrian civil war is likely, to the benefit of President Bashar al-Assad.

Puerto Rico Governor-elect Ricky Rossello is unlikely to find allies in Washington for his pro-statehood agenda.

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