New York – Wall Street began a comfortable rise Wednesday, relieved of the outcome of the US mid-term election despite the prospect of blockage that involves a divided Congress.
Around 15:20 GMT, the index of Wall Street, the Dow Jones Industrial Average, gained 0.73% to 25,822.34 points.
The Nasdaq index, with strong technological coloration, advanced by 1.41%, to 7,479.92 points.
The broad S & P 500 index was up 0.97% to 2,782.10 points.
Attendance dominated Tuesday's session on the eve of these elections, characterized by a volume of trade sharply lower than previous sessions: the Dow Jones had taken 0.68% and the Nasdaq 0.64%.
Almost two years after Donald Trump's political novice shock victory in the presidential election, there was not the "wave"anti-Trump long fear to the Republican party.
In the aftermath of these elections, which finally saw the House of Representatives switch to the Democratic side but the Senate remain Republican, "the markets seem to be satisfied with a divided Congress", commented Phil Davis of PSW Investments, an assumption that most market observers had expected.
The question of the economic and financial implications of this election was central to their comments.
"A shared Congress has historically been favorable to the stock market and we expect to see the same trend this time", analysts say Deutsche Bank, recalling that a potential political blockage is not necessarily perceived negatively on Wall Street.
– Shutdown –
On the economic front, Fidelity's analysts even anticipate the possibility ofa new boost (given) to domestic growth in 2019"through the prospect of a bipartisan agreement on an infrastructure spending plan that can support employment and wages in the country.
Others, however, are more reserved about the stalemate looming in the political landscape.
"We expect an even more dysfunctional Congress, if it were still possible", stressed Berenberg analysts.
This situation "will lead to more blockages in the budget process and increased risks of + shutdown +", the closure of administrations because of a sudden drying up of funding, they added.
In any case, the months following the mid-term elections are generally positive for the markets.
The S & P 500 index, which includes the 500 largest companies listed in the United States, has increased on average by 13.8% in the year since the elections since 1926, Wells Fargo recently calculated.
In the bond market, the US 10-year debt rate declined to 3.191%, against 3.228% Tuesday evening, and that of the 30-year debt to 3.392%, against 3.443% the day before.
The health and technology sectors were the two most prominent in the first Wall Street trades, gaining more than 1.5% within their respective sub-indices in the S & P 500.
Among other values of the day, the 21st Century Fox media group, whose sale of a large portion of the assets to Disney is underway, announced Wednesday mixed quarterly results, marked by good advertising revenue that allowed it to offset weak entries in theaters. Its share price was down 0.04%.
David Solomon, the new CEO of Goldman Sachs, ruled Wednesday "alarming"corruption and money laundering charges against two former bank employees in the massive corruption scandal involving former Malaysian Prime Minister Najib Razak, the title released 0.05%.