Democrats regain Congress, US stocks surge, key focus shifts to inflation

The United States midterm elections delivered a surprise as Democrats exceeded expectations, reclaiming a majority from Republicans in both chambers of Congress. This result prompted a swift rebound in US stock markets after a brief period of selling pressure on election night. Nasdaq 100 futures reversed from a 2.4% intraday drop to finish up 0.9%, climbing roughly 929 points from session lows. S&P 500 futures gained about 1%, while Dow Jones futures rose by around 700 points. The market upswing extended into the day’s opening.