India, Oct. 5 -- A divided US government could be good news for Big Tech stocks in the 2026 midterm elections, according to Jefferies analysts. They believe a split government could help large technology companies continue spending heavily on artificial intelligence (AI) infrastructure.

Jefferies said a divided government could increase the chances of a national AI policy instead of different AI rules being created by individual states. This could allow AI development and innovation to continue at a faster pace.

The investment firm said this situation could especially help large technology companies that have strong businesses and have earned the trust of companies and consumers. Jefferies research analysts said this in a new note on Mo...