U.S. stocks moved higher late Wednesday morning after jumping between gains and losses in volatile trading as Wall Street weighed a surprising victory by Republican Donald Trump in the presidential election.
The S&P 500 rose 0.3%, the Dow Jones Industrial Average gained 0.5% and the Nasdaq rose 0.2%.
European stocks were trading higher following losses earlier in the trading session.
Trump, who will serve as the 45th president of the United States, surprisingly won New Hampshire, North Carolina, Florida, and Wisconsin, key battleground states both candidates needed to secure to win the election. Prior to the election, markets were factoring in a win by Democratic nominee Hillary Clinton, who is expected to address her supporters Wednesday morning.
The election saw Senate and House Republicans maintain their majorities in Congress.
"We think the stock market selloff will be short lived," Deutsche Bank analysts wrote in a note. "This apparent Republican sweep is positive for the broad market and especially health care stocks. The only sector that might suffer from this election outcome is energy, as we think a greater U.S. oil supply outlook weighs on the oil price recovery."
The energy sector turned higher Wednesday after seeing losses earlier in the session. The Energy Select Sector SPDR ETF (XLE) was up 0.5%. But SunPower (SPWR) fell 14% as investors believe Trump's focus on coal and oil is seen as a negative for the global energy company.
Domestic crude oil supplies increased by 2.4 million barrels in the week ended Nov. 4, according to the U.S. Energy Information Administration. West Texas Intermediate crude oil was trading down 0.7% to $44.67 a barrel.