By ZIMO ZHONG and ELAINE KURTENBACH, Associated Press

HONG KONG (AP) — Stock prices and bond yields rose Wednesday as the Republican party took control of the Senate and former President Donald Trump moved closer to the 270 delegate votes needed to return him to the White House.

Full results Tuesday’s election It may not be known for days as officials count all the votes, but investors were repositioning on expectations of big gains for Republicans as they took control of the Senate for the first time in four years. The results of the parliamentary elections have not been finalized yet.

Trump won the battleground state of Georgia, a Republican stronghold that voted Democratic in 2020. A win in North Carolina helped Trump narrow Vice President Kamala Harris’ path to victory. Clinching Pennsylvania He received 3 of the 270 votes needed to become the next president.

Pointing to an increase in US markets on Wednesday, the future of the S&P 500 index increased by 1.9% and the Dow Jones Industrial Average index increased by 2.2%. Nasdaq composite futures were 1.7% higher.

Bitcoin price rose nearly 8% to $75,345.00 as investors bet on the victory of Trump, who has pledged support for cryptocurrencies. It later dropped to $74,355.00.

Bond yields also rose; The 10-year Treasury yield rose to 4.4% from 4.28% on Tuesday.

“Markets are trying to understand what will happen next, but for now the market is pricing in the outlook for higher growth and higher inflation,” Peter Esho of Esho Capital said in a comment.

In the early hours of Europe, the German DAX index increased by 0.6% to 19,377.79 points, while the CAC 40 index in Paris increased by 0.7% to 7,460.26 points. England’s FTSE 100 index increased by 0.7 percent to 8,233.12 points.

Markets around the world are focused on what the elections will mean for US economic, monetary and trade policy, as well as geopolitics. A split between political parties in Congress would complicate policymaking and could have far-reaching consequences, given the Trump White House’s support for sharp increases in tariffs, especially on imports from China.

The broad US stock market has historically trended upward Whichever party wins Although each party’s policies help or hurt the profits of different sectors, the White House.

According to Sam Stovall, CFRA’s chief investment strategist, the S&P 500 has risen in 73% of the years since 1945 when a Democrat was president and in 70% of the years when a Republican was the nation’s chief executive.

The S&P 500 is up nearly 70% since the 2020 election, when President Joe Biden took office. It rose to records as the US economy recovered from the Covid-19 pandemic and managed to avoid recession despite the jump in inflation.

In Asian stock trading on Wednesday, Japan’s Nikkei 225 index rose 2.6% to 39,480.67 points, while the Kospi index in Seoul fell 0.9% to 2,553.90 points.

Australia’s S&P/ASX 200 index rose 0.8% to 8,199.50 points.

Hong Kong’s Hang Seng index fell 2.3% to 20,525.06 points, ending a three-day rally as investors sought safe-haven assets amid uncertainty surrounding the US election. While the Hang Seng Technology Index lost 2.5 percent, the Shanghai Composite index decreased by 0.1 percent to 3,383.81 points.

Trump has vowed to sharply raise tariffs on imports from China and other countries, darkening the outlook for Chinese exporters at a time when Beijing is relying heavily on boosting production to revive its flagging economy.