U.S. stocks closed sharply higher Wednesday, November 4, after Democrats won control of both chambers of Congress and oil prices fell.
Preliminary closing data reported by Reuters showed the Dow Jones Industrial Average rising 1,575.38 points, or 3.04%, to 53,362.57. The S&P 500 gained 119.81 points, or 1.58%, to 7,688.73, while the Nasdaq Composite added 366.26 points, or 1.44%, to 25,736.51.
The move marked a broad rebound from Tuesday, when the Dow declined while the S&P 500 and Nasdaq posted smaller gains. Wednesday's rally followed midterm election results that ended Republican control of Congress. Market reports attributed part of the rise to reduced political uncertainty and expectations of divided government.
Falling energy prices also supported the advance. The Associated Press reported during the session that Brent crude had dropped below $95 a barrel, extending a decline tied to expectations that the change in congressional control could affect U.S. policy toward the Iran war and energy disruptions. Lower oil prices can reduce pressure on transportation and consumer costs, though prices remain volatile.
The gains were uneven across industries. Reuters reported that consumer-discretionary shares rose while the energy sector declined. Large technology companies including Amazon, Meta Platforms and Alphabet advanced, but several data-center operators and suppliers fell as investors assessed the possibility of tighter limits on new AI infrastructure.
Defense contractors also declined. Reuters identified Northrop Grumman, RTX and Lockheed Martin among the laggards as investors weighed the prospects for the administration's proposed defense budget under a Democratic Congress. Solar and other clean-energy shares rose.
Long-dated Treasury yields moved lower and the dollar weakened against most currencies, Reuters reported.
Wednesday's closing levels measure one trading session and do not establish the longer-term effect of the election, oil-price moves or future congressional action.
Sources: - Reuters, November 4, 2026 - Associated Press via Local 10, November 4, 2026