European stocks rip higher as Democrats seize Congress

European bourses ripped into the close on Wednesday, with every major index finishing deep in the green. Germany's DAX led the surge, up 2.15% at the bell, while the Euro Stoxx 50 closed 2.08% higher. The CAC 40 rallied 1.96% and the FTSE 100 soared 1.86% by the closing bell.

The spark came from across the Atlantic. Democrats won control of both the House of Representatives and the Senate, flipping Republican strongholds — including a Senate seat in Texas for the first time since 1988. Investors piled in on the hope that a divided Washington can blunt President Donald Trump's agenda, with Breaking The News reporting optimism that the 'blue wave' could bring a bit more certainty to markets.

The rally was a slow burn, not a morning gap. Stocks opened mixed, with the DAX down 0.10% at 9:00 am CET as Siemens Energy slid 2.37% and the FTSE 100 sat flat. The CAC 40 was already creeping up 0.18% on a 1.45% pop in Societe Generale.

By midday the mood had flipped hard. At 12:10 pm CET, the DAX and CAC 40 were each up 1.36%, the Euro Stoxx 50 had climbed 1.63%, and Spain's IBEX 35 was setting the pace. From there, the buying only accelerated into the close.

Currencies moved too. The euro traded 0.26% above the dollar at 1.12218, while the pound gained 0.36% against the greenback at 1.34626. Traders also chewed through a heavy data plate, including German, British and Eurozone services figures, euro area October inflation and Spanish unemployment. Novo Nordisk and BMW got their third-quarter numbers out before the opening bell. Breaking The News says there's more to come.