Markets
Dow Jumps 1,569 Points for Its Best Day Since April 2025 as Democrats Win Congress and Oil Slides
Image: michaelmep via Pixabay
The S&P 500 gained 1.6% and the Nasdaq 1.4% at the close, with energy shares lagging; final congressional counts and Iran diplomacy are next.
By Emma Cruz ·
Wall Street ended Wednesday with a broad rally after Democrats won control of Congress, and the Dow Jones Industrial Average posted its biggest one-day gain since April 2025. At the close, the Dow finished at 53,356.12, up 1,569.40 points, or 3.03%, according to TheStreet's closing figures. The S&P 500 rose 119.70 points, or 1.58%, to 7,688.62, and the Nasdaq Composite added 364.50 points, or 1.44%, to 25,736.51. The Russell 2000 index of smaller companies gained 1.58% to 2,856.96 [1]. Yahoo Finance's live coverage described the Dow's advance as its best day since April 2025 [2].
The main catalyst was the election result. Democrats took both the House and the Senate in Tuesday's midterms, a shift that ends Republican control of Washington and, in the view of many investors, lowers the odds of sweeping new policy changes. The Associated Press reported that strategists nonetheless cautioned against reading too much into the vote, with one saying "Earnings trump elections" [3]. Daniela Hathorn of Capital.com told TheStreet that technology shares remain sensitive to possible scrutiny of artificial intelligence and data center spending under a divided government [1].
Oil was the other big driver. TheStreet said energy shares posted the steepest declines of the session as investors bet on less geopolitical uncertainty tied to the Iran war, with Brent crude falling about $10 a barrel to below $100 by midday [1]. Later in the session, Yahoo Finance reported that U.S. crude had slipped below $90 a barrel and Brent was near $95, close to a two-month low, while the energy sector fund XLE fell more than 5%, led lower by refiners [2]. The declines came even as reports of tankers hitting mines in the Strait of Hormuz showed that shipping risks remain [1].
Leadership was uneven beneath the headline gains. Yahoo Finance said consumer discretionary shares led, helped by a gain of about 7% in Amazon, followed by communication services, where Alphabet rose more than 4%. Financials, consumer staples, real estate and health care also advanced. Apple and Microsoft each climbed about 6% to record highs, and Apple's market value moved above $5 trillion, while chip stocks including Nvidia and Micron fell [2]. On the earnings front, Duolingo jumped nearly 30% on strong user growth and Uber gained about 7% despite softer fourth-quarter profit guidance, Yahoo Finance reported [2].
Bond and global markets were calmer. In the AP's mid-morning report, the 10-year Treasury yield eased to 4.92% from 4.95% late Tuesday, which the wire service linked to expectations of less pressure from new federal spending and tax cuts. Overseas, Paris and Shanghai each rose 2.2% and London gained 1.8%, while Japan's Nikkei 225 fell 1.4% [3].
Several open questions carry into Thursday. TheStreet noted that vote counts in Alaska and Mississippi were still under way and that Democrats could reach 56 Senate seats, while 68 House races had not been called as of late morning. President Donald Trump congratulated Democrats but warned that "Otherwise, I'd just veto everything" [1]. For markets, the questions are whether oil keeps sliding on Iran diplomacy, whether artificial intelligence and chip stocks stabilize after their lag, and whether the post-election relief extends once attention returns to earnings and interest rates [2][3].
Sources:
[1] TheStreet, "Stock Market Today (Nov. 4, 2026): Stocks rise, oil collapses after Dems sweep midterm elections", November 4, 2026. https://www.thestreet.com/stock-market-today/stock-market-today-dow-jones-sp-500-nasdaq-updates-nov-04-2026
[2] Yahoo Finance, "Stock market today: Dow surges 1,500 points in best day of 2026, S&P 500 and Nasdaq rally after historic midterm election", November 4, 2026. https://uk.finance.yahoo.com/news/live/stock-market-today-dow-rallies-1500-points-sp-500-nasdaq-midterm-elections-democrats-sweep-201207340.html
[3] The Associated Press (via LEX 18), "Wall Street surges after Democrats win control of Congress", November 4, 2026. https://www.lex18.com/politics/economy/us-stocks-rally-toward-their-best-day-in-3-months-and-the-dow-soars-more-than-1-000-points
This article was produced with AI assistance. It is for informational purposes only and is not financial advice. StockVolt and its authors may hold positions in securities mentioned.