FTSE 100 LIVE: European stocks, dollar and bitcoin soar as Donald Trump declares US election victory
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The FTSE 100 (^FTSE) and European stocks were higher on Thursday as Donald Trump claimed victory as the next president of the world's biggest economy.
He said it was a “magnificent victory for the American people” and that it would “help our country heal”.
"America has given us an unprecedented and powerful mandate,” he said as he hailed Republican victory in the Senate.
As he beat Kamala Harris to the White House, Trump will become just the second president to serve non-consecutive terms in history, and the first for well over a hundred years, after Grover Cleveland in the late-19th century.
The US dollar was up by more than 1.5% against a basket of other major currencies, including the euro, pound and the Japanese yen. It is on track for its biggest one-day rise since March 2020.
The price of bitcoin (BTC-USD) and bond yields also surged on the back of the news as markets awaited official confirmation of the outcome.
Trump has stated that he will dramatically increase trade tariffs, especially on China, if he won the election.
"Trump’s global trade policies are causing particular angst in Asia, given the strong protectionist platform on which more aggressive tariffs on imports into the US have been pledged," said Katrina Ell, director of economic research at Moody's Analytics.
It still may take some days before we know the outcome for the House of Representatives.
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London’s benchmark index was 0.7% higher in early trade.
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Germany's DAX (^GDAXI) rose 0.6% and the CAC (^FCHI) in Paris headed 0.7% into the green.
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The pan-European STOXX 600 (^STOXX) was up 0.9%.
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Wall Street is set to open sharply higher in New York as S&P 500 futures (ES=F), Dow futures (YM=F) and Nasdaq futures (NQ=F) were all in the green.
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The pound was 1.3% down against the dollar (GBPUSD=X) at 1.2868, its lowest level in two months. The US greenback enjoyed its best day in four years.
Follow along for live updates throughout the day:
LIVE 2 updatesAsia and US stocks overnight
Stocks in Asia were mixed overnight, with the Nikkei (^N225) rising 2.6% on the day in Japan, while the Hang Seng (^HSI) fell 2.8% in Hong Kong, ending a three-day rally, as investors sought safe-haven assets amid the uncertainties surrounding the US election.
The Shanghai Composite (000001.SS) was 0.1% down by the end of the session.
On Wall Street on Tuesday, the S&P 500 (^GSPC) index rose 1.2%, closing at 5,782.76, and the Dow Jones (^DJI) added 1% to 42,221.88. The tech-heavy Nasdaq Composite (^IXIC) jumped 1.4% to finish at 18,439.17.
In after hours trading, the S&P 500 on Wall Street gained 1.1% and that for the Dow Jones Industrial Average also was up 1.3%. The Nasdaq Composite was 1.1% higher.
The price of bitcoin (BTC-USD) jumped more than 8% to a record $75,535.80, as investors bet on a victory for Trump, who has expressed support for cryptocurrencies.
Bond yields also surged, with the yield on the 10-year Treasury climbing to 4.47% from 4.28% on Tuesday.
Coming up...
Good morning, and welcome back to our markets live blog. As usual we will be bringing you all the latest market news and all that's happening across the global economy.
Today we find out who will be the next US president will be, so it's sure to be a busy one.
Here's what else is on the agenda for today:
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7am: Trading updates: TBC Bank Group, Braemar Shipping, Lancashire Holdings
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7am: German factory orders for September
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9am: Eurozone services PMI for October
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9.30am: UK construction PMI for October
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12pm: The weekly US mortgage application data
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2.30pm: Treasury committee hearing with Rachel Reeves and top officials on the budget
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