Update: US Equity Indexes Surge as Democrats' Seismic Gains in Midterm Elections Send Crude Oil Tumbling

02:12 PM EST, 11/04/2026 (MT Newswires) -- (Updates with index/price moves, macroeconomic data and company/election news from the first paragraph.) US equity indexes soared as crude oil sinks after Democrats sweep both chambers of Congress in Tuesday's midterm elections. The Nasdaq jumped 1.9% to 25,851.5, the S&P 500 climbed 1.8% to 7,701.2, and the Dow Jones Industrial Average soared 2.9% to 53,287.6 after midday Wednesday. All sectors except energy and industrials advanced. Consumer discretionary led gainers, followed by communication services and financials. President Donald Trump said he'll work with the Democratic-controlled Congress and not spend the next two years "vetoing everything," CNN reported, after the midterm elections shifted power to the Democrats, with the party taking control of both the Senate and the House. "The sizable swing in the political pendulum is being touted as a pushback against primarily tariffs, the Iranian conflict, and elevated - energy - prices," according to a Stifel note. "Regardless of the particular motivation, the Democratic majority raises the odds of gridlock as well as a government shutdown in December." The front-month West Texas Intermediate crude oil contract slumped 7.5% to $88.90 per barrel, and global benchmark Brent retreated 7.6% to $95.74 per barrel. The Democratic Party win increases political pressure on Trump to potentially seek a deal with Iran to reopen the Strait of Hormuz, Rystad Energy said in a note. Most US Treasury yields fell, with the two-year down 2.9 basis points to 4.59%. The 10-year dropped five basis points to 4.90%, and the 30-year slid 3.4 basis points to 5.29%. Gold futures jumped 3.4% to $4,075.2, and silver futures soared 5% to $52.25. US investors will likely focus on the potential ramifications for the data center buildout following the gubernatorial results in Texas, Georgia, and Ohio, where Democratic challengers are on course to unseat Republican incumbents, according to a Danske Bank note on Wednesday. Of the 10 worst-performing stocks with market capitalization exceeding $200 billion each, half were technology firms in midday trading, according to data compiled by Finviz. Of the tech giants, four were either chipmakers or semiconductor-related companies. ADP's monthly measure of private payrolls showed an 86,000 expansion in October, compared with the 67,000 consensus gain in a Bloomberg-compiled poll and a downwardly revised 86,000 addition in September. The Institute for Supply Management's US services index fell to 54.5 in October from 54.9 in September, more than the 54.8 forecast in a Bloomberg-compiled survey, signaling a slowdown in the pace of expansion. The S&P Global US services index was revised to 56.1 in October from a flash estimate of 57.9, versus expectations for no revision in a Bloomberg-compiled poll. Stanley Black & Decker (SWK) reported Q3 adjusted earnings above market expectations and also raised its 2026 adjusted EPS guidance, outweighing a sales decline. Shares soared 16%, one of the S&P 500's largest gainers. 3M Company (MMM) agreed to a $7.35 billion commitment over nine years to resolve about 99% of current personal injury claims related to per- and polyfluoroalkyl substances, it said, while adding that the settlement does not change its previously issued 2026 guidance. Shares jumped 9.7%, the Dow's top gainer. Datadog (DDOG) shares plunged 15%, the Nasdaq's steepest decline, after the cloud monitoring and security platform issued a soft Q4 revenue forecast, taking the shine off its Q3 beat.