Markets anticipated
GOP victory

By Jon Dougherty

Investors anticipating Republican victories in Congress today celebrated early with the Dow Jones Industrial Average scoring triple-digit gains.

Besides predicting GOP victories in the House and Senate, investors also were anticipating another rate cut from the Federal Reserve, which meets tomorrow.

“If we get a sweep by the Republicans, that raises a lot of hope as far as tax incentives going forward,” Peter Cardillo, president and chief strategist of Global Partners Securities, told the Associated Press. “This market has a sense that the Republicans are going to recapture the Senate.”

The Dow, as well as Standard & Poor’s, rose for a third straight day, while the Nasdaq scored a five-day winning streak.

The Dow ended a lightly traded session up 106.67, or 1.2 percent, at 8,678.27. In the past three sessions, the Dow has climbed 281.24. The Nasdaq composite index rose 4.63, or 0.3 percent, to 1,401.17, after falling as much as 17 points earlier.

Standard & Poor’s 500 index advanced 7.04, or 0.8 percent, to 915.39, for a three-day gain of 29.63.

No earnings or economic news swayed trading on Election Day, which is typical. But analysts and investors say the midterm election has contributed to recent market rallies.

Investors have been hoping that Republicans would maintain control of the House as well as win the Senate, AP said.